Fisher German magazine issue 16 Summer 2016 by fishergermanllp

fisher german Summer 2016 | Issue 16

www.fishergerman.co.uk

Rural restoration The Kedleston Country House Hotel has been brought spectacularly back to life

Guest feature

Farmer and founder of British Cassis Jo Hilditch on running the successful family business p12

Model farmers

Fisher Germanâ&#x20AC;&#x2122;s new virtual platform explores the business dynamic of a modern farm p16

Transfer season

Secondments have far-reaching benefits and are straightforward to implement p18

Welcome

Our cover star this issue, The Kedleston Country House Hotel, is a shining example of what can be achieved through a collaborative and well-executed restoration project. With both the house and the estate now back to their former glory, this thriving business is welcoming guests from far and wide. Our Fisher German experts often have first-hand Andrew Jackson, experience of the challenges our clients face, and this managing partner is particularly true of our farms team. Earlier this summer, the team engineered Tiger Farm, a virtual platform that will allow many of the dynamics of the business to be modelled, explored and understood in a significant depth of detail, for the benefit of our clients. Turn to page 16 to find out how Tiger Farm takes things further than traditional models. Secondments can have far-reaching benefits for both companies involved and neednâ&#x20AC;&#x2122;t be limited to full-time, fixed periods. On page 18, we explore the logistics of these transfers and highlight the growing popularity of the more flexible co-location placement, where individuals are based in their clientsâ&#x20AC;&#x2122; workplaces on a shorter, more regular basis. Jo Hilditch, the founder of British Cassis, is the focus of our guest feature on page 12. She tells us about her career transition from PR to farming, how being a woman in a male-dominated industry has never held her back, and her pride in seeing her British liqueur available in pubs and bars all over the country. Meanwhile, it remains to be seen whether Britain will vote to stay or leave the EU, but whatever the outcome on 23 June, you can be confident our experts will be ready to help you navigate any potential changes.

Model farmers

Tiger Farm is a virtual model that will help clients better understand business challenges

16 All in the planning

Fisher Germanâ&#x20AC;&#x2122;s team of town planners showcase the diverse nature of their projects

22 People news

A review of the latest round of promotions, and Ashby de la Zouch has a beautiful new office

The Fisher German magazine is intended to be an informative guide. It should not be relied on as giving all the advice needed to make decisions. Fisher German LLP has tried to ensure accuracy and cannot accept liability for any errors, fact or opinion. If you no longer wish to receive the Fisher German magazine or any other Fisher German marketing material, please call 0800 1075522 or email marketing@fishergerman.co.uk.

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News & views

Rooms with a view

HS2 advice; LEADER funding available; planning team awards recognition; visit us at Cereals

The Kedleston Country House Hotel is open to guests following a magnificent restoration

Off the grid

Best of British

Developments in energy storage technology look set to transform the UK market

Jo Hilditch is the businesswoman behind British Cassis, the blackcurrant liqueur taking the cocktail market by storm

10 Transfer season

12 Growing matters

Secondments and co-location placements are gaining in popularity – we find out why

Adding energy crops to a rotation can have significant benefits

20 A field of their own

Property showcase

Glamping is becoming an increasingly popular revenue stream for landowners looking to diversify

Partner spotlight

Office directory

Sam Skinner has big plans for the Bedford office, including adding a commercial aspect to the team

Publishing services provided by Grist, 21 Noel Street, Soho, London W1F 8GP

A selection of Fisher German’s current residential and farming property portfolios

Publisher Andrew Rogerson Editor Laura Adcock Art director Richard Wise Telephone +44 (0)20 7434 1445 Website www.gristonline.com

Contact details for Fisher German’s national offices

34 Please remove cover before recycling this magazine

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news&views

Agencyfacts The latest property-related statistical information and market facts*

of surveyors expect house prices to rise (house price inflation) over the short term, down significantly from 44% who expected this previously.

Rush to purchase buy-to-let property ahead of the introduction of a stamp duty surcharge (on second home and rental property purchasers) announced in the budget is over.

surveyors expect the number of sales across the UK to fall due to uncertainty fuelled by stamp duty changes, a weaker pound, Brexit and devolved elections.

4.5

annual growth in residential rental levels is anticipated across the UK in the next five years, with particularly strong rises expected in the next 12 months. However, there is no indication that tax increases are being passed on to tenants.

overall rise in house prices expected over the next five years.

*RICS Residential Market Survey – March 2016

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Award-winning planners

he planning team at Fisher German has been named the East Midlands Planning Consultancy of the Year by the East Midlands Royal Town Planning Institute (RTPI). The firm’s submission was reviewed by an independent judging panel which was looking for evidence that entries had added value to proposals and been effective throughout the planning process. The team was commended for its work in promoting the profession through the RTPI, work with universities and graduate training. It was also recognised for its high success rates in delivery, proactive advice to clients on the latest changes in the planning process and actively

Return to Cereals

isher German is exhibiting on stand 615 at UK trade fair Cereals for the third consecutive year in June. Alongside Lamma and Energy Now Expo, it is one of the biggest events in the Fisher German calendar. This year the team will launch their new Model Farm Project. Tom Paybody from the Fisher German Farms department talks about this project in more detail on page 16.

promoting and engaging with public consultation. Fisher German’s head of planning, construction and development, Richard Benson says: “The planning department has been restructured over the last 12 months to form specialist utilities, development and general practice teams (see page 22) and we are delighted to have won this prestigious award.” The team also celebrated further success at the RTPI awards when Fisher German planner Jenny Salt was recognised as part of the East Midlands Young Planners Network along with other committee members, winning the Chairman’s Award for Planning Excellence.

LEADER funding now available

he Rural Development Programme for England (RDPE) has recently given the go-ahead for LEADER funding, primarily focused on projects that create jobs, help rural businesses to grow, and benefit the rural economy. LEADER funding is delivered via a Local Action Group (LAG) and is available to local businesses, communities, farmers, foresters and land managers. A total of £138 million is available in England between 2015 and 2020 under the scheme. A LAG is made up of people from the local community and local public and private sector organisations. Each LAG decides which projects they will fund in their area. This depends on the priorities of the individual area, but all projects must support one or more of six LEADER priorities. These include: supporting micro and small businesses and farm diversification; boosting rural tourism; increasing farm productivity; increasing forestry productivity; providing rural services and providing cultural and heritage activities. Fisher German has a wealth of experience in securing grant funding for rural businesses and is currently working on outline applications as well as full LEADER applications for clients considering a wide variety of projects.

For further information please contact James Goodson on 01636 642507 or james.goodson@fishergerman.co.uk

HS2 advice on track

isher German represents a large number of clients across the UK who are affected by Phases 1, 2a and 2b of HS2, and is currently dealing with properties both inside and outside of the safeguarded area. Blight notices are being served on the Secretary of State for Transport asking the Government to purchase affected properties which fall wholly or partly within the safeguarded area. Where a blight notice is accepted, the property owners will receive the unblighted market value of their property, together with either a home loss payment or other appropriate loss payment. HS2 Limited will also pay other costs including disturbance costs. For those outside of the safeguarded area affected by Phase 2a, there is presently only the Government’s discretionary Exceptional Hardship Scheme available, although further Government schemes may be launched later this year.

Penalty for CAP payment delays

For further information on HS2 or other infrastructure schemes please contact Liz Farrall on 01785 275392 or liz.farrall@fishergerman.co.uk

he Rural Payments Agency (RPA) must keep its commitment to paying 90% of farmers their full Common Agricultural Policy (CAP) entitlements in December 2016 after failing to meet its payout targets this year, says the Environment, Food and Rural Affairs Committee in its report on Common Agricultural Policy. The committee means to hold RPA chief executive Mark Grimshaw and the agency’s parent department, Department for Environment, Food and Rural Affairs (DEFRA), to account if farmers face delays and confusion over their 2016 payments. New CAP rules this year meant the agency’s performance in paying applicants quickly dropped from the 97% achieved in December 2014 to around 51% in December this year. Around 90% of farmers have now received their payments, but the delay has created cash flow problems for many.

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view

Rooms with a

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ESTATE PROFILE

The Kedleston Country House Hotel is now a popular wedding venue

The Kedleston Country House Hotel on the edge of the city of Derby is a joy to behold following its recent restoration. We learn how this beautiful 18thcentury coaching inn has been brought back to life.

his summer The Kedleston Country House Hotel, jewel in the crown of the Kedleston Estate, near Quarndon in Derbyshire, celebrates its first birthday since its refurbishment. It has been a remarkable turnaround for a building that until recently had been boarded up, and a far cry from its origins as a coaching inn constructed by the renowned architect Robert Adam. Built in the 1760s, the inn was designed at the same time as the Kedleston Hall mansion (see box, page 9) that had been commissioned by the Curzon family, who have owned and resided on the Kedleston

The Kedleston Country House Hotel For the new operators of The Kedleston Country House Hotel the former coaching inn wasn’t just a building, it was an iconic venue. “My dad remembers it in its heyday in the ‘70s,” says Paul Harris, co-owner of the Derby Brewing Company. He adds: “We lived nearby and always thought it a beautiful building that could be a good site for us.” It was a chance glimpse of a news item detailing the departure of the previous tenant that set the ball rolling for Paul. He immediately called the estate to express an interest, only to discover that he would have to compete on the open market with other operators. Having made it to a shortlist of four, Paul was invited to pitch to a ‘judging’ panel. He believes that the comprehensive nature of Derby Brewing Company’s proposal – including bar, restaurant, wedding venue and hotel – helped him beat the competition. The concept was a departure for the brewer, which operates two traditional pubs in Derby and a gastro pub in Little Eaton. “It was an exciting project,” says Paul, “but it was also a sharp learning curve and a long process – we had to be quite determined to make it work. It didn’t have any of the Georgian features we’d hoped for inside so we wanted to put some of that back. Replacing some of the panelling and Adam cornicing give it such a good feel. It’s not about faking it, just complementing the building.” The hotel currently has five bedrooms on the first floor, while a further three bedrooms are proposed for the second floor, affording fine views over the surrounding Derbyshire countryside.

Estate since the 12th century. During the 19th century the building was used as a farmhouse, but reverted back to a hotel in 1967, most recently closing its doors in 2010 after its operator went out of business during the recession.

Significant redevelopment For Fisher German partner Neil Hogbin, who began managing the estate on behalf of the family in spring 2013, reviving the historic property was a priority. “When I arrived a basic contract had already been agreed with a new operator – the Derby Brewing Company (see box, page 9) – but there were still a lot of lease negotiations to be done and we were particularly keen that all parties paid their fair share, rather than the landlord subsidising the tenant,” remembers Neil. At the same time, Neil, supported by Fisher German’s building consultancy and planning teams, was responsible for co-ordinating the specialists who would undertake a significant redevelopment of the Grade II*-listed property. Although much of the historic interiors had been removed during the hotel conversion in the 1960s, the property owners, Historic England, the local authority and the National Trust were all keeping a close eye on the plans to ensure that the renovation was as sympathetic to the building’s origins as possible. “Our conservation experts and planners steered the scheme through the listed building approval process,” relates Neil,

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Derby Brewing Company was responsible for the interior refurbishment, described as â&#x20AC;&#x2DC;relaxed boutique luxuryâ&#x20AC;&#x2122;

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ESTATE PROFILE “holding a series of site meetings with the local authority and Historic England so that they could buy into the vision of the new establishment. It wouldn’t be in anyone’s interest for the project to get bogged down in years of planning delays.”

The magnificent Kedleston Hall

Streamlined process The refurbishment was managed by the building surveying department within Fisher German, who liaised with all parties and ensured works were undertaken as expected and to the agreed budget. The estate was largely responsible for repairs and work to the main fabric and structure, while the tenant took care of the interior decoration. Delays and confusion were minimised by appointing a single contractor to work for both parties. Though some problems did arise, with major structural repairs required to the principle elevation, and dry rot discovered in a number of locations, these difficulties were overcome thanks to specialist inputs and all parties working together towards a common goal. “Part of my role was to oversee all the work, and to ensure that the work done on behalf of the landlord was completed to the highest standard, while managing the budget and timetable for the build,” says Richard Benson, head of planning, construction and development at Fisher German. The discovery of the dry rot outbreaks could not have been foreseen

Kedleston Hall

and the subsequent treatment The Robert Adam-designed Kedleston Hall is a works by specialist contractors did spectacular neo-classical mansion dating back cause a delay. However, contingency to the 1760s. The hall is surrounded by 800 allowances in the original schedule acres of gardens and parkland laid out by resulted in the impact of these Adam, much of which has been largely works being mitigated and the new unaltered in the intervening years. venue opened its doors in July 2015. Ownership of the hall and parkland While work on the hotel was transferred to the National Trust in 1987, progressing Neil was getting to know though the Curzon family still lives the Family the rest of the estate, which extends wing. The hall was used extensively in the to almost 4,000 acres surrounding filming of the 2008 Hollywood blockbuster The Kedleston Hall and Park. There Duchess, starring Keira Knightley. are approximately 45 residential and 20 agricultural tenants as “I work very closely with the estate well as around a dozen commercial to ensure the properties here are kept tenants, including a shoot and telecoms in the best possible state and the mast owners. There are 3,500 acres of maximum returns are achieved. That farmland, plus 500 acres of woodland. The farmland is divided means providing a wide gamut of advice into a number of mixed including, fiscal, tax planning and longfarms, including one which term wealth inheritance,” explains Neil, rears Aberdeen Angus cows who meets informally with the family for Waitrose and another weekly and formally every six months. which supplies milk to He has recommended that the estate a Stilton manufacturer. diversifies away from its traditional residential and agricultural income streams into commercial areas, and identified a number of projects that could be taken forward over the next Derby Brewing Company is a family-run craft brewery, set up in 2004 by head brewer Trevor Harris. few years. “We have a whole range of Trevor started his brewing career in 1991 when a brewery was built onto The Brunswick Inn, the pub in ideas,” says Neil, “and are currently central Derby that he ran for 15 years with wife Kes. looking at bringing back into use partially After selling up with the intention of going into early retirement, it wasn’t long before Trevor’s dilapidated farm buildings close to the brewing hobby had become a full-time job for the Harris family, who were joined by their son and hotel. These could provide complementary daughter-in-law Paul and Leanne. facilities for the hotel, such as a spa or With over 30 years’ brewing expertise, the company believes that quality and experience are conference space. Alternatively they reflected in the taste. It has developed a core range across every beer style might suit rural offices or a craft centre, that is permanently available – many have won awards and become so including retail operations.” popular that the company says it couldn’t possibly stop brewing them. In Whatever happens next, it is certain addition, a few special beers are usually available every month. there will be plenty of activity on the Derby Brewing Company’s ethos is to run its pubs in the same way it makes Kedleston Estate for generations to come. beer, using only the finest ingredients. This means each pub will stock a good selection of real ales, plus a mixture of home-made and guest ales and an impressive selection of lagers, including at least seven on draught and a wide array of bottled lagers from around the world. Tasting racks are available for For further information contact Neil Hogbin on 01530 410841 or email those who really just want to try everything. The huge drink selection is topped neil.hogbin@fishergerman.co.uk off with a locally sourced homemade food menu. Derbybrewing.co.uk

I work very closely with the estate to ensure the maximum returns are achieved”

Derby Brewing Company

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Off the grid

Advancements in global energy storage technology look set to transform the UK energy market and landowners should be ready to maximise the opportunities.

nergy policy and technology have come on in leaps and bounds over the last decade, meaning it is not only possible to now generate your own electricity, but it can be done more easily and profitably than ever before. The only drawback has been that, once created, electricity has needed to be used instantly – either locally, near the point of generation, or fed into the national grid. But that’s all about to change as the technology for storing electricity, which for so long has lagged behind advances in renewable power, is finally coming of age. “Energy storage is a game changer for renewables and the grid network, and will allow for decentralised locally integrated markets to form,” explains Darren Edwards, partner at Fisher German. Earlier this year an independent report (see box, right) predicted 2016 will be a milestone for the energy storage market, with the cumulative installed base set to

pass 2GW – that’s the equivalent of the original operating capacity of the massive Hoover Dam in the United States. The US, Japan and South Korea have been at the forefront of pushing forward the new technology that is now arriving in the UK. Broadly speaking, energy storage facilities are building-sized versions of the lithium-ion batteries that power our smartphones, cameras and other gadgets. Advances in technology that allow more power to be stored longer and a reduction in battery manufacturing costs (which have fallen by 60% in the last five years) are combining to make energy storage viable on a nationwide scale.

Falling costs By 2020 experts predict that around 1GW of energy storage will be installed across the UK – that’s enough to power 750,000 (or 3%) of the country’s homes. Earlier this year the UK’s largest battery array

totalling 10MW went online in Northern Ireland and a smaller test facility has been in operation in Bedfordshire for the past two years. Costs for storing electricity are forecast to drop by up to 90% in the next seven years and could fall by a third again after that. US company Tesla has already installed domestic battery packs in houses in Wales, while the wider commercial applications are also generating a

Opportunities for farmers and landowners Renewable energy installations like solar parks and wind farms that produce electricity largely or solely for the national grid are likely to be the primary focus for energy storage facilities in the next few years. “Those who lease their land to third parties, who manage and operate the renewables installation, can expect that third party to be approaching them with a view to adding an energy storage facility,” says Fisher German partner Darren Edwards. “It’s important to bear in mind that the new facility adds value to the existing scheme, so it’s only right that the landowner benefits from a share of any increase in project revenue. Aside from the financial implications, it will be important for landowners to consider any energy storage proposal in the context of existing lease arrangements and to ensure there are provisions for site remediation at the end of the battery life cycle. In essence, it is critical to think outside of the box and cover off all eventualities.” And for landowners who have invested in a renewables installation themselves, adding an energy storage facility will allow them to maximise revenue streams. Perhaps most exciting are the prospects for landowners with remote sites that have no access to the national grid. “There will be instances where there is potential to match up a renewable generating technology with a storage facility to allow ‘off-grid’ locations to become virtually self-sufficient,” says Darren.

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ENERGY STORAGE

substantial amount of interest. “In the short term, solar power installations are likely to be paired with new energy storage facilities,” predicts Darren. “At a time when financial support for solar has been reduced, energy storage could improve viability, so in that respect the technology has advanced at just the right time and it will not be long until renewables plus storage can be used for demand side management and balancing services.”

Timely solution Rural landowners are expected to benefit from the new technology either by pairing energy storage with existing renewable plants on their land or leasing land to commercial operators (see box, left). This market is likely to expand quickly over the next few years as the strain on the existing centralised structure of the national grid increases due to the closure of carbon-generating power stations. In common with most countries, demand for electricity in the UK varies over a 24-hour period but as it hasn’t been possible until now to store electricity,

Energy storage is a game changer for renewables and the grid network” power stations have been kept running to meet the spikes of peak demand – an inefficient and expensive solution. The new technology has the ability to smooth out the demand peaks as power is stored in batteries when electricity use is lowest (normally during the night) and then released into the national grid when demand is highest. Furthermore, electricity from intermittent renewable generation (in particular from wind farms and solar parks) can be captured when local conditions provide a lot of power and then stored until it is required. “Again,” says Darren, “energy storage capability is emerging just at the right time. As the UK continues to close coalfired power stations to meet emissions targets it is struggling to maintain supply, particularly in peak periods. Renewables combined with energy storage looks set to provide a timely solution and transform the marketplace.”

Independent report endorses energy storage At the start of 2016 an independent report by KPMG described energy storage as the “missing component” in the move towards a low carbon energy system. Commissioned by the Renewable Energy Association (REA) the report notes that many grid-scale projects are already economic, only requiring funding solutions before installation can commence. REA chief executive Dr Nina Skorupska CBE says: “2016 is going to be the breakthrough year for energy storage and the growth of decentralised energy. “This report shows that storage is already upon us and whilst traditional fuels like nuclear and gas are needing increasing help from the government, the cost of renewable technologies is coming down and many companies are looking forward to the post-subsidy business model.”

For further information contact Darren Edwards on 01858 411236 or darren.edwards@fishergerman.co.uk

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Best of

British

Farmer and founder of British Cassis Jo Hilditch’s creative approach to the family business has sparked a brand new drink to rival the French liqueur. Here, she shares her journey to success.

IMAGES: PHOTOPIA

rom the moment you meet Jo Hilditch it is clear that she isn’t an average farmer. Jo never expected to be following so literally in the footsteps of her forefathers, despite being the fourth generation of a family which has worked land in Herefordshire since the 1870s. Living in London she had successfully embarked on a career in PR and marketing, initially with consumer goods and later working with companies such as Eurotunnel on corporate identity and branding. But that changed suddenly and unexpectedly with the tragic loss of her younger brother in a car accident. As he was originally in line to take over the family business, Jo stepped into the breach and over the last 23 years has developed the business at Whittern Farms as a profitable venture with a current annual turnover of £8 million.

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Although she had been brought up on the farm, Jo had very little technical knowledge. “My dad was around for the first four years to show me the ropes, but even so I was slightly thrown in at the deep end,” she recalls. “I quickly learnt that it’s all about delegation – appointing the right people to do > The British Cassis product range includes raspberries, blackberries, strawberries and pears

GUEST FEATURE PROFILE

Every British bar and pub should be offering a British productâ&#x20AC;?

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IMAGES: PHOTOPIA

The world of blackcurrants The varieties of blackcurrants that Jo Hilditch grows have been developed by Ribena to give the best flavour to their products but also to spread the growing and harvesting season. The season starts with Ben Gairn in very early July and runs through Ben Vane, Ben Hope, Ben Starav, Ben Dorain and ending with Ben Alder, which usually takes place in early August. All the varieties are named after Scottish mountains as they have been developed by the James Hutton Institute in Scotland. Blackcurrants need a proper winter so that the bushes can go through a vernalisation process, allowing them to rest and be dormant. Typically at least 1,800 chill hours (temperatures below 7°C) are required so that the buds all burst concurrently, leading to an even flowering and consequently an even harvest. The fruit isn’t partial to late frosts or high north winds in April and May, but welcomes a decent amount of sunlight to develop the sugar levels and rain during the fruiting period so that the blackcurrants are plump and sweet. The harvesting window changes every year, depending on the coldness of the spring, and blackcurrants grown in different parts of the UK will ripen at slightly different times. Cassis is the French word for blackcurrant – hence crème de cassis for the liqueur. But from the outset Jo was determined that her British version would not be as sweet, while retaining an intense blackcurrant flavour. White Heron Cassis is made in a different way from its Gallic counterparts, using a champagne yeast to ferment the fruit in its own sugars. Additional sugar is then added for the yeast to feed on and eventually a little more is added for taste and to really bring out the flavour of the blackcurrants. When Jo started she took advice from a local wine maker to ensure that her Cassis had the right levels of sweetness and blackcurrant fruitiness. Her aim was for a product that would not be too syrupy when added to wine or sparkling wine. She adds: “It’s a fantastic base for cocktails, but is so versatile it can be used in loads of recipes, sweet and sour. I use it in summer pudding, over ice cream and in game dishes.”

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things where you don’t have the expertise yourself.”

New direction The mixed farm’s bread and butter and prime income-generator, employing seven people, is poultry, with around 6 million birds a year sold to Cargill. Cider apples are also important, with 1,200 tonnes purchased annually by Bulmers and a further 300 tonnes by Aspall. “Everything I do is on a contract basis, so I know that whatever I produce I have someone to sell to,”

Jo appeared with TV chefs the Hairy Bikers as part of the BBC’s Countryfile programme

says Jo. “That was something I learned from my father.” Alongside this there is an arable enterprise that is run as a joint farming venture with two local families; and a spread of four to five-star holiday lets, including one in the old Victorian stable block that sleeps up to 22 people (www.whiteheronproperties.com). But it was her grandfather who, in the 1920s, first introduced the crop that is now taking Jo’s business in a new direction – blackcurrants. By the 1950s Ribena was an important customer and

GUEST FEATURE

Don’t think you can’t do things because you are a woman … and be empowered by your inevitably unique position of being the only woman at many farming events!” today the bulk of the 360 tonnes produced each year goes to the drinks manufacturer. A surplus back in 2005 gave Jo the idea of creating a British version of the French liqueur Cassis (see box, left) and the first batch of British Cassis was manually trampled in a half-tonne bin before being mixed with an augur drill. Since then the product range has expanded with the addition of raspberries, blackberries, strawberries and pears, with around five tonnes of blackcurrants being turned to alcohol. Now Jo is planning a step change for the brand – which will relaunch this summer as White Heron – that will see annual production rise from 20,000 to 100,000 bottles. Aided by the marketing skills from her former life, Jo has big ambitions. “With cocktails being the thing of the moment, every British bar and pub should be offering a British product as well as a French one,” she said.

Knowledge is priceless A notable marketing coup last year was an appearance on the TV programme Dragons’ Den (see box, right). Although she stood up to the dragons she admits the experience was quite intimidating and probably wouldn’t do it again. Would she recommend it to others? “If you get

the opportunity you should seriously think about it, but you need to know your business inside out and understand the risks you’re taking,” she advises. “I’d written a good business plan, which certainly helped me evaluate and focus on the investment I would need to take the business forward.” Her other piece of advice for those starting up a rural business is to, “furnish yourself with knowledge in every respect. Personally, I wish I’d done more financial training, I was so green to begin with.” As a mother of three she regrets not having had the time to do a Nuffield Farming Scholarship, but encourages other women to consider farming. “Don’t think you can’t do things because you are a woman,” she says, “and be empowered by your inevitably unique position of being the only woman in the room at many farming events!” With her White Heron brand set to fly, Jo has her feet firmly on her land. “We’re planting blackcurrants right now, and I still find it amazing how you put sticks in the ground and they turn into bushes!” she exclaims. “I love the variety of what I do and always like to have a project going on.”

Into the den Last year Jo Hilditch appeared on the BBC television programme Dragons’ Den. The famously fiery panel were taken with her alcoholic mixers business (now White Heron). So taken, in fact, that they wanted far more of the company than Jo was willing to part with. She went in to the den asking for an investment of £50,000 in return for 10% of her business, and attracted the firm attention of both Peter Jones and hospitality entrepreneur Sarah Willingham. Jo was tempted by the latter’s contacts in the pub, cocktail bar and restaurant industry, but unimpressed by the huge 40% share in the business that was being demanded. “I can’t do that,” Jo told Sarah, “but thank you very much for your offer as I would really have liked to have had your expertise.” When Jo revealed that the maximum amount she was prepared to trade was 20% Sarah quickly made a crafty second offer. She still demanded an initial 40% stake, but promised to sell back half of that (at the original purchase price) when the business doubled its turnover, effectively meeting Jo’s 20% target. Jo, however, stuck to her guns, also rejecting smaller stakes from Peter Jones. After probing extensively about her successful farms business, Peter dropped to asking for 25% in return for the whole investment. He also proposed a partnership with Deborah Meaden for 30% equity. “For the sake of 5% you could have so much more,” he suggested. Despite having received a number of offers, Jo chose not to accept any of them and left the den with her head held high.

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Model farmers

An innovative virtual farm aims to highlight key issues facing the farming industry.

ituated in the heart of Leicestershire’s rolling countryside, Tiger Farm is a typical mixed farming operation extending to a total of more than 524 hectares. It is run by the Fox family who, like many other family farming enterprises, have expanded from an owned base; recently adding a Farm Business Tenancy and some contract farming work to a historic Agricultural Holdings Act Tenancy they have held for some time. Tiger Farm is a virtual model farm engineered by a team at Fisher German. While modelling farm data isn’t new, the approach taken with Tiger Farm is different. “We want to take things a step further from traditional models, which are usually no more than tables with

Farm fact file Livestock: 700 mule ewes lambed in late March Winter wheat: Traditionally feed wheat growers, but growing a milling variety for the first time in 2016 Winter oilseed rape: A mixture of hybrid and conventional varieties selected with an emphasis on autumn vigour and disease resistance Winter barley: Introduced into the rotation to create an early entry for oilseed rape, a mixture of hybrid and conventional varieties Spring beans: A spring crop grown with the aim of lengthening the rotation, and to help battle an ever-increasing blackgrass population

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input and output data,” explains Fisher German consultant Tom Paybody. He continues: “Our goal is to improve benchmarking against industry standards and create a platform that will allow many of the dynamics of the business to be modelled, explored and understood in a significant depth of detail.” One of the features that sets Tiger Farm apart from other models is its acknowledgement of the challenges that real farms face. This farm is operated by a virtual family, the Foxes, who tackle the same scenarios as real farmers all over the country, from cropping decisions to machinery choice and above all, making their business profitable and sustainable.

Our goal is to improve benchmarking against industry standards”

The land tenure at Tiger Farm is a mix of livestock and arable crops

MODEL FARM

Farmed area Size

Tenure

Notes

243.56 hectares

Owned

Most recently acquired 22.26 hectares purchased 10 years ago at £12,350 per hectare

128.72 hectares

Agricultural Holdings Act Tenancy

Rent including house, cottage and buildings £173 per hectare

40.57 hectares

Farm Business Tenancy

Rent £445 per hectare. Five-year term agreed in 2013 with a review in September 2016

111.78 hectares

Contract farming agreement

The Fox family receives £296 per hectare basic contracting fee, plus a share of any surplus achieved

The modellers Tom Paybody – with a background in farm management, Tom joined Fisher German in 2015 as a farm consultant. Tom combines his role at the firm with farming as part of his family business in Northamptonshire. He is involved with the management of contract farming agreements, performance reviews and benchmarking. Tom is BASIS and FACTS qualified. Tom Heathcote – provides farm management and consultancy advice to a variety of private and institutional clients throughout the UK. His work as a partner focuses on succession planning, strategic farm business reviews and restructuring and setting up and managing contract farm agreements. Tom joined Fisher German in 2007 and is a member of RICS and BIAC.

In common with many farms across the UK the land tenure at Tiger Farm is mixed (see box, above) and the Foxes employ a staff member who lives in a tied cottage. The family itself lives in a farmhouse on their AHA tenancy, and they also own a small cottage in the village, which they let privately. “These factors alone are sure to generate a lot of discussion on property, employment and succession issues,” notes Tom. Also likely to be a source of future debate are Tiger Farm’s heavy clay soil, black-grass and drainage problems and the impending expiry of the farm’s Entry Level Stewardship scheme in 2017. “One of the reasons for creating Tiger Farm is to inspire discussion around topical issues that farmers can relate to, and that can aid decision-making on actual farms,” says Tom. Tiger Farm will be launched at this year’s Cereals event in June and regular updates will be published throughout the year, with

major updates likely each winter and summer. While Fisher German’s bespoke in-house budgeting model will analyse and display, the firm’s team will use their own collective farming expertise (see box, right) to make purchasing and selling decisions in real time. “The Fox family, like farmers everywhere, are facing commodity prices substantially below their budget,” says Tom, “so the figures don’t look good for the 2016 harvest.” This farm will have to confront the same challenges: agronomic, climatic, financial and personal, that our farming clients and others are facing every day. To see how your business compares to the Foxes’ visit the Fisher German website.

For further information, please contact Tom Paybody on 01858 410200 or tom.paybody@fishergerman.co.uk

Charlotte Gore – originally from a farming family in Kent, Charlotte joined Fisher German in 2011 and is an associate within the farms team. Her work involves predominantly farm budgeting, managing contract farm agreements and advising on CAP, stewardship and grant funding. Charlotte is a member of RICS and CAAV. James Goodson – while also farming in his own right in Nottinghamshire, James works as a partner at Fisher German and focuses on business reviews and financial reporting as well as supervising a number of contract farming and joint venture arrangements. David Kinnersley – David is a partner in the farms department specialising in diversification, particularly renewables projects. David has been involved in over 40 anaerobic digestion projects with his work including feasibility studies and crop supply agreements. David has carried out management work for large farming businesses including in Russia and Ukraine.

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Transfer season

Secondments and co-location placements have far-reaching benefits for both companies, and the practicalities of arranging them needn’t be complex.

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“T

he rationale behind both secondments and co-location is simple and convincing,” says Fisher German partner Rachel Cliffe. “If you spend more time with your clients they’ll want to spend more time with you. Putting in your best people with your best clients should yield better results for everyone involved.” Most people are familiar with secondments, where an individual from one organisation goes to work within another organisation, normally for a fixed period of time to cover a specific event such as maternity leave or a one-off project. These placements are often full-time, though part-time secondments have become more common (see case studies). Making sure a secondee doesn’t lose touch with

their parent company is an important consideration, highlights Rachel. “Ideally the original employer will still provide support on a daily basis and bring their employee back to base for training and to retain a familiarity with the parent company’s culture.”

Efficient service The formal nature of secondments, however, means they may not be the optimum solution for organisations that are seeking to retain a high degree of flexibility. “That’s where co-location comes in,” explains Rachel. “It can be an ideal solution in situations where, for example, a placement is useful one morning each week, rather than an allout block of six months. It’s all about tailoring the placement to deliver an effective and efficient service.”

SECONDMENTS

Case studies Three Fisher German staff talk about their experiences of working more closely with clients

Sarah DeRenzy-Tomson, Partner Since April 2014, Sarah has been working with Severn Trent managers and engineers on a colocation basis. She is one of a team of four Fisher German staff who are based in two separate Severn Trent offices for a full day each week. Regular visitors are issued with passes, and Sarah is impressed that the technology allows her to work seamlessly on her laptop and connect into the Fisher German system. The co-location day tends to be fixed each week to allow for scheduled collaborative planning meetings. “Being in the building means we can ask questions and we can get involved at the right points early on, which helps all of us,” she says.

Matthew Willoughby, Partner Matthew has been working on a co-location business with Severn Trent for four years. He recalls that when he started he was positively encouraged to be in the company’s Derby office. “It worked really well – I ended up with a regular spare desk, so people knew where I was,” he says. Although his role has changed, Matthew still maintains a presence in his client’s office. “I go there around three times per month, though now that tends to be for specific meetings and I then walk around the building to go and see people. It certainly helps to pull our teams together.”

Samantha Jones-Davies, Surveyor Samantha recently completed a part-time maternity cover secondment with National Grid. The arrangement was set up to provide National Grid with three days of Samantha’s time each week and she was surprised at how flexible the experience turned out to be. She was provided with a National Grid laptop, as well as her Fisher German one, and tended to hotdesk. Getting used to the IT and recording systems of another organisation took a while, but once these were mastered, Samantha felt very much part of the National Grid team. “I built up a really good rapport and regularly being in their office provided excellent opportunities for networking,” she says.

It’s about tailoring the placement to deliver an effective and efficient service”

Co-location, then, is an informal working arrangement, where individuals are based in their clients’ workplaces, usually for short amounts of time, but often on a regular basis. It allows the parent company to provide a bespoke service and individuals to add value to their client relationships.

Personality match There are potential hurdles to both secondment and co-location, though most of these are easily overcome by careful management by the parent company. Modern technology means that IT issues are rarely a problem these days, but differences between corporate cultures can be significant and need to be well understood (see case studies).“That’s why it’s important

8 steps to a successful secondment

to make sure the right individual is chosen,” says Rachel. “It’s about finding a good personality match and not just focusing on technical abilities. The most successful placements are with people who recognise that it gives them an opportunity to experience new horizons while remaining with their original employer.”

For further information contact Rachel Cliffe on 01530 410863 or rachel.cliffe@fishergerman.co.uk

1. Put the secondment agreement in writing. 2. Make it clear that the seconded employee’s original employer retains control over the employment relationship. 3. Spell out the terms and conditions that will apply during the secondment. 4. Make the procedure for dealing with absence clear. 5. Put in place procedures for dealing with appraisals, discipline and grievance. 6. If you are the host employer, ensure that the secondment agreement provides for compliance with your instructions and policies. 7. Protect your confidential information and intellectual property. 8. Provide for how the secondment will end. Source: Personnel Today

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Growing matters Energy crops offer growers the potential to stabilise margins, widen their rotation and return organic matter to the soil, yet an awareness of common pitfalls is needed to ensure profitability.

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ENERGY CROPS

naerobic digesters are becoming an increasingly common sight on UK farms as they provide an efficient way of generating energy and fertiliser from farm waste such as poultry litter, cattle manures and slurries. Now farm owners and agricultural landowners are discovering the benefits of growing crops specifically for use in anaerobic digesters. Maize and grass silage, energy beet and whole crop rye all make excellent energy crops. Volatility in the price of crops, and the inputs required to grow them, the decrease in the value of agricultural commodities and a reduction in the area of sugar beet contracted to British Sugar, have all contributed to an increased interest from growers in energy crops as an alternative market. Fisher German partner David Kinnersley points out that supplying energy crops can have many additional benefits to growing crops for conventional markets. “In many parts of the country where land use has been predominantly for combinable, or root crops, there is also a growing issue of low organic matter in soils. The use of energy crops grown with the digestate from the digester helps to put organic matter back into the soil.”

Sustainable rotations Intensive crop rotations have created issues with pests, disease and weeds and these things, together with the decreased effectiveness of chemicals to control black grass and other diseases have all encouraged growers to look at longer and more sustainable rotations, which includes adding energy crops to the mix. At the same time, investors in anaerobic digester plants are looking for suppliers who can provide a regular source of energy crops and a source of land to accept the nutrients (as digestate) produced by these plants, so there are supply and demand benefits for all parties involved.

Energy crop supply contracts: the small print Before signing anything it is important that both parties are realistic about the yields and dry matter that can be delivered. Growers should be very clear on what their obligations and risks are, and areas such as payment should be tightly defined, not simply a question of a price per tonne. “Although it is usually straightforward who will be paying you, you should double check so that there are no unpleasant surprises if there is a problem with payment,” advises David. Agreeing whether payment will be on delivery of each consignment or over a certain period and the length of the whole contract are important considerations (any period between delivery and payment can increase risks for the grower). While payment terms are the most obvious items to consider in a potential contract, understanding exactly who will do what and when is also crucial, for example whether the plant operator will collect the crop or the grower will deliver it and who will undertake the dry matter sampling. “What is inside and outside the contract can have a significant impact on a grower’s ultimate profit,” says David. “The additional costs of finishing the crop, including haulage and clamping, shouldn’t be underestimated as they can add up to several pounds per tonne.” As with any kind of crop, external factors can affect yield, so contracts that specify a minimum tonnage should also include provisions for what happens if the minimum can’t be met or a surplus has been harvested, for example by addressing oversupply in some years and undersupply in others, rather than on a purely per-crop basis. “One of the characteristics about energy crops is that, unlike whole crop equivalents, it is likely that it won’t be possible to buy in a substitute locally from elsewhere,” notes David.

Both parties need to do their sums to ensure they can benefit long term” However, David points out that potential growers should be aware that supplying energy crops is not as straightforward as producing some other crops, and they will need to be responsive if they are to get the best prices from their crops. For example, energy crop prices are under pressure following the reduction in the Feed-In Tariff for privately-produced energy. As a result, margins for new anaerobic digestion plants are lower and in some regions this has reduced the payments offered to growers. David says growers need to examine draft contracts very closely: “For some producers reduced energy crop prices may mean they are better off growing other crops or leasing land to the plant operators rather than take the risk of growing the crop themselves. Both parties Growing crops specifically for use in anaerobic digesters can offer a number of benefits

need to do their sums to ensure they can benefit in the long term from the contract. If grain prices rise and arable margins improve, there will be pressure on developers to review pricing policies, which will have an impact on profitability later on.”

Strong relationship Despite the potential for some fluctuation in energy crop prices, one of the biggest attractions is that they are significantly less volatile than arable crops, leading to more stable returns. “It’s not a case of the price being £200 per tonne one year and then suddenly only £100 per tonne the next,” says David. While that will be an attraction in itself for many potential growers, they shouldn’t let that distract them from their core objective of developing a long term, sustainable relationship with the operators of anaerobic digestion plants. David highlights that potential contracts need careful thought in terms of the medium to long-term consequences over a range of economic conditions for both parties (see box). He adds: “Supplying anaerobic digester plants should be considered as one opportunity among several. For landowners with a gas main or a good grid connection, leasing a site to a developer could be a way of getting a rent and a market for the crops.”

For further information contact David Kinnersley on 01905 459427 or david.kinnersley@fishergerman.co.uk

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All in the planning A dedicated team of qualified town planners at Fisher German provides advice to a broad range of major utilities providers, developers, private landowners and public sector organisations on projects from small barn conversions to large-scale infrastructure schemes. This selection of case studies illustrates the diverse nature of their work.

Utilities and Renewables It takes just two hours to drive from Powys in Wales to Birmingham, but for the water that supplies the UK’s second city it takes considerably longer – around three days in total. That’s because the 320,000,000 litres of water that arrive in Birmingham each day is collected in the Welsh hills and funnelled along the 73 mile-long Elan Valley Aqueduct using only gravity. “Although the aqueduct, which opened in 1904, is in generally good condition it needs maintenance to keep it in service, which means draining it for extended periods,” says Fisher German partner Sarah DeRenzyTomson. The link is so critical that

Severn Trent Water now plans to build a secondary pipe between the River Severn and Frankley, outside Birmingham, to provide a back-up supply that will allow the main aqueduct to be shut down for engineering works for up to 50 days. Before the back-up supply is constructed, Severn Trent will build three bypasses at Bleddfa, Nantmel and Knighton where sections of the pipe will be shut down completely and water directed through newly bored 10 feet-wide tunnels around 330 feet below ground. “We are leading on the provision of planning advice for these works and are liaising closely with the

Local Planning Authority to ensure there is limited impact on the local population and environment,” explains Sarah. Her team is currently advising on a large number of projects for Severn Trent Water, including: new sewage works, pipeline diversions, new and extended reservoirs and water quality improvement schemes. She adds: “Over the last 12 months we have secured planning permission for more than 50 projects.” For more information, please contact Sarah DeRenzy-Tomson on 01530 566578 or sarah.derenzy-tomson@fishergerman.co.uk

Development Creating something from nothing is challenging and rewarding in equal measure, a balance that the planning team working on site in Retford, Nottinghamshire, is well accustomed to. “After years of hard work, which involved liaising closely with the local council, we were delighted to succeed in winning planning consent for a mixeduse development, on behalf of our client Trinity Hospital,” says Fisher German partner Liberty Stones. The scheme, which includes 196 new homes and 27 acres for commercial uses, still requires final agreement on contributions to local infrastructure, but this is expected in due course. The first challenge facing the planning

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team was to ensure that the site was included in the Council’s emerging Local Plan – a lengthy process. “Once we’d successfully secured the identification of the site as a Preferred Option Site Allocation for residential development,” says Liberty, “we submitted an outline planning application for a mixed use development that also included commercial uses not originally envisaged by the local authority, including a car showroom, 100-bed hotel, family pub, shops, as well as office and light industrial buildings.” A development partner is to be brought on board to take the project forward in phases, with the

PLANNING

General Practice The regeneration of town centre sites has gone on for centuries. Sometimes locations rebound in a surprising way, such as the former Hallmark Tractors depot in Ashby de la Zouch, Leicestershire. This summer, a trampoline park opened on land once used for the sale and service of agricultural machinery, providing a new leisure facility for the town and a new lease of life for the former industrial site. But the scheme nearly had the bounce taken out of it when an unexpected event in the local planning system threatened to halt the project. “Everything was progressing very speedily,” recalls Fisher German partner Kay Davies, who was managing the planning application on behalf of the landowner. “We had effectively won approval for the scheme from the local council and simply needed a signature on a legal agreement to conclude the deal. Then, out of the blue, we found that the council would be unable to sign for an unknown length of time.” The problem was not the council’s fault, but meant that the trampoline park could not go ahead until the issue was resolved, something that could take months. “We had to employ some lateral thinking and do it quickly,” says Kay. Her team focused on the unsigned legal agreement, which detailed the financial contributions required from

the landowner as original calculations suggested that the new development would create additional drainage into the river Mease, a Special Area of Conservation (SAC). They found that the landowner had underestimated the amount of waste water generated by the previous business. They realised that, when combined with the water-saving fixtures that would be built into the new leisure development, there would actually be a net reduction in waste water and no impact on the river Mease. “This meant that no financial contribution was required from the landowner,” explains Kay, “so the unsigned legal agreement was no longer relevant, and the council was able to give the scheme the go-ahead.” Kay’s team works on a wide variety of projects, from feasibility assessments to maximising land value before property sales. They specialise in advising on Permitted Development Rights, which can allow landowners to create spectacular new homes in locations historically resisted by planning authorities.

For more information, please contact Kay Davies on 01530 567476 or email kay.davies@fishergerman.co.uk

housing and some commercial uses providing the capital that will fund the roads and utilities to service the employment land. Not all proposals will have the happy ending seen in Retford, as the UK planning process becomes ever more complex and complicated by politically-motivated decision making. “Our experience can be invaluable in knowing what to do and when to do it,” says Liberty.

For more information, please contact Liberty Stones on 01530 567478 or email liberty.stones@fishergerman.co.uk

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A field of their own Glamping is the ideal way to get close to nature without giving up home comforts – and for many landowners this new trend is proving a lucrative sideline.

IMAGES: QUALITY UNEARTHED

or an activity that has only become popular (and invented a word for itself) in the last 10 years, glamping is catching on fast. The conjunction of ‘glamour’ and ‘camping’, glamping is all about experiencing the great outdoors in a five-star way. It is as far removed from traditional camping as it is possible to get. Glampers enjoy the luxuries of home in remote and beautiful locations and are willing to pay for the privilege. With 80% of the UK population now living in urban areas, the urge to escape to the country has never been greater. And for rural landowners the weekend exoduses from the city could provide an unexpected income stream. “I’ve been in the holiday cottages market for 10 years and this is very

different,” says Katherine Cotterell, a relatively new recruit to the glamping business, who started welcoming guests to her site in Herefordshire just over a year ago. She originally picked up the idea from a family member and set about thoroughly researching the market, including taking her family to a shepherd’s hut in the Welsh mountains for a winter weekend. Her experiences convinced her that glamping would work on part of the farm she owns with her farmer husband (and Fisher German chairman) Harry. “You need to work out where your

Every local authority has a different policy, so it’s worth doing a pre-application” 24

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accommodation will go so that your guests aren’t disturbed by the goings-on at the farm and to keep other parts of the farming business running smoothly,” she says. Her own method of location scouting was as unconventional as it was inspired: she took her young children around the farmland to gain a child’s-eye perspective.

Sustainability points As a result, she opted to pitch a full size Sami-style tent (ordered online, direct from Finland) next to a babbling brook and close to a former cow shed, which she converted to a bathroom block. If the latter sounds less than glamorous, the effusive feedback on TripAdvisor is testimony to a first-class transformation. “Your reviews are your lifeline,” notes Katherine, who

GLAMPING

The refurbished horsebox

Katherine’s Sami-style tent was ordered directly from Finland and is pitched next to a babbling brook on a quiet part of the farm

stresses the importance of people skills. Katherine, who is expecting a return on her capital within three years and a double-digit yield, is now planning further accommodation on the farm, including a gypsy wagon, fishing hut and woodland cottage. She adds that the business also gains sustainability points: “People enjoy the peace and quiet so much that they don’t tend to travel around much once they get here.” Husband Harry, who, in his day job as Fisher German’s chairman, is abreast of the latest changes in planning legislation, points out that most glamping accommodation – even a tent – will require planning permission. “Every local authority has a different policy, so it is worth doing a pre-application, as it doesn’t cost anything,” he advises.

Glamping locations  Maddlebrook Safari Tent, Herefordshire Sleeps up to four people www.qualityunearthed.co.uk/  Ges Horsebox, Surrey Sleeps up to four people http://mycoolholiday.co.uk/

Horsebox ‘Ges’ is popular with couples and young families

When Yvonne Harris’ husband Gary found a 1975 Bedford horsebox for the couple to restore there was no suggestion that the vehicle might turn into a business. They expected simply to do it up for themselves. “We’re both gardeners, we love quirky things and staying in interesting places,” explains Yvonne. Having created an unusual living space, the couple found the horsebox in demand from friends and family, who in turn suggested making it available to a wider audience. Now situated in a friend’s field next to a bluebell wood near Chiddingfold in Surrey throughout the season from early April to end October/November, Ges, as the horsebox is known, is now a glamping destination. A horse trailer, Little Ges, acts as a bathroom. Visitors come mainly from London and Kent, but have also arrived from as far afield as the USA and Hong Kong. “People want somewhere different and enjoy the retro style when they get here,” says Yvonne. With a welcome hamper that includes local bread, cake, sausages and eggs, many glampers choose to stay close to the horsebox, though the South Coast, Arundel Castle and Goodwood Racecourse are all within easy reach. Visitors are almost an equal mix of couples and young families, most of whom stay for a long weekend. In the long term, Yvonne plans on moving Ges to her own plot and extending the season all year round. She says the commercial returns in the last two years have been encouraging and, like many glamping site owners, Yvonne enjoys the interaction with different people. “We are passionate about it because we did it for ourselves. We love to see people’s reactions when they get here; we want it to be amazing for them,” she says. Eventually Ges may be joined by a couple of railway wagons Yvonne acquired, though that project will have to wait a couple of years as the couple get their latest venture – a truck to serve Turkish-inspired street food – off the ground.

For booking enquiries, please contact Katherine Cotterell on 01981 590227 or katherinecotterell@gmail.com

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Countryside living

ere is a flavour of the wide range of residential properties that we offer from our network of offices. We have noted that whilst the supply of properties to the market is a little slow, there are strong numbers of active and motivated buyers which are creating some exceptional sales, albeit with transactional volumes slightly lower than average. Buyers seem to be encouraged by the stable market and the positive mediumterm prognosis for interest rates. For further details, please email property@fishergerman.co.uk for a copy of our residential magazine, Source, or go to fishergerman.co.uk.

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Manor Farm House, Buckinghamshire This beautiful six-bedroom family home includes tennis courts and outbuildings with potential within the grounds, guide price ÂŁ1,295,000

DIVERSE SALES

Yew Tree Tithe, Worcestershire A Grade II-listed property with four bedrooms (three en-suite) and integral double garage is set within a walled garden, making it a perfect family home, guide price OIEO £595,000

Haywood House, Staffordshire This handsome five-bedroom property is located in a sought-after village and boasts secure gated parking and a delightful Victorian-style courtyard garden, guide price £595,000

Woodlands, Nottinghamshire Beautiful period features can be found throughout the property, which consists of six double bedrooms and three reception rooms set over three floors, plus private and mature landscaped gardens to the exterior, guide price £670,000

Manor Farmhouse, Lincolnshire An eight-bedroom, Grade II-listed country idyll set in generous gardens and grounds, with further land available by separate negotiation, guide price £945,000

The Priory, Buckinghamshire This stunning Grade II-listed property boasts master and guest bedroom suites, plus five further bedrooms, two store rooms, two attic rooms and a two-bedroom annexe, guide price £3,500,000

Pen y Bont, Gwynedd An established holiday rental business set in a wonderful location with spectacular views, the property has 5/6 bedrooms, 2/3 reception rooms and three bath/shower rooms, guide price £399,950

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DIVERSE SALES

Working the land I

n the run up to the European Referendum traditional farmers have been less active in the farm sales market, yet we continue to see strong activity from institutional buyers, â&#x20AC;&#x2DC;lifestyleâ&#x20AC;&#x2122; purchasers and those with roll-over capital whose focus is not short-term economics but rather on long-term investment. In particular, we are producing excellent results for farms displaying efficient diversification or the capability for such. For further details, please email property@fishergerman.co.uk for a copy of our publication The Farms List, or visit fishergerman.co.uk.

Fromes Hill, Herefordshire This compact estate and investment opportunity contains a diverse range of assets including a Grade II-listed Georgian house, price on application

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DIVERSE SALES

Beachampton, Buckinghamshire Diverse opportunity comprising four-bedroom farmhouse with potential, a business park with commercial and residential units, solar park, reservoir and arable and pasture land, guide price £3,200,000

Waddingworth, Lincolnshire Highly productive 527-acre (213.27ha) commercial arable farm with a handsome modern farmhouse, two ranges of farm buildings with grain drying and storage, plus planning consent for a poultry unit, guide price £5,250,000

Church Broughton, Derbyshire A 161 acre (65.23ha) dairy farm with a listed principal farmhouse, cottage and extensive range of traditional and modern agricultural buildings offering the potential for a variety of uses, guide price £2,500,000 for the whole

Bradden, Northamptonshire This exceptional estate set amidst delightful countryside is comprised of a Grade II-listed seven-bedroom house, a traditional gate lodge, coach house and stabling along with productive arable land and pasture, price on application

Sheriff’s Lench, Worcestershire This quality farmland in an accessible location includes 337 acres (136.38ha) of arable land, 14 acres (5.7ha) of woodland and 73 acres (29.5ha) of grass/fallow areas and is for sale as a whole or in three lots, guide price £3,050,000

North Kilworth, Leicestershire A superbly situated arable farm within easy access of major roads is available as a whole or in two lots and includes a range of portal frame buildings with yard areas and grain storage and drying facilities, guide price £3,000,000

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peoplenews

Recognising the success of colleagues Investing in people from across the business helps fuel Fisher German’s continued growth The number of April promotions this year is reflective of the size in growth of Fisher German. A whole round of promotions became effective from 1 April 2016, with John Ikin, Chris Hicks, Neil Hogbin, Hugh Maxfield, Rebecca Ruck Keene, Matthew Allen, Liberty Stones, Jonathan Perks, Hywel Morse, Sam Skinner, Luke Brafield, Struan McDougall, Sarah DeRenzy-Tomson all becoming partners. Meanwhile, Robert Haigh and Iain Long were promoted to associate. Richard Sanders, senior partner, commented on the achievements: “I would like to congratulate everyone on their well-deserved promotion and on behalf of Fisher German, thank them for their substantial contribution to the continuing growth of the business.”

Neil Hogbin

Sarah DeRenzy-Tomson

Jonathan Perks

Liberty Stones

New Ashby de la Zouch office opens

Investing in our people

Over the space of two weeks, colleagues from three sites in Ashby de la Zouch (The Grange, St Helen’s Court and Waterloo House) moved into their new office. Some five years ago, the impending likelihood of the existing offices being outgrown started to crystallise as the business continued to expand. Following four-anda-half years of planning, plus cross-sector working from both Commercial and Planning, Construction and Development, the Ashby team now have an office that will serve them well into the future. The move into The Estates Office is a key milestone for Fisher German and

Fisher German recognises that its people are integral to its continued success and are committed to providing excellent services to their clients and safeguarding the continuity of professional relationships. The firm invests heavily in graduate, sandwich and summer placement programmes and upon qualification, there is a career structure in place to support the growth and development of individuals to develop into the partnership. This is driven by performance and is not on a ‘time served’ basis. The firm’s youngest partner is 31. Learning is paramount at Fisher German and the firm runs various initiatives throughout the year, which include: l Innovation for growth programme – entrepreneurial modular programme l NVQs – including team leading and customer care l Management development programme Maria Wade, HR director, says colleague development is at the core of the firm’s ethos. “We work hard to attract and retain the best individuals across all areas of our business and in doing so, we ensure we have the capabilities and talent in place to drive our strategic priorities.”

demonstrates its ongoing commitment to growth, progression and success. Andrew Bridge, chief operating officer comments: “It brings all the Ashby offices together in a single building, enhancing our ability to communicate and collaborate to deliver our vision. We are looking to create a single team ethos where different service lines work together in single project teams and embody the behaviours underpinning our values. As well as our colleagues, we want clients and the local community to be proud of our new office.” The Estates Office

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PARTNER SPOTLIGHT

Partner spotlight: Sam Skinner When Sam Skinner decided to turn his back on the London rat race to get closer to his farming roots, Fisher German gave him the perfect opportunity.

“F

or someone used to the wide open countryside, finding myself as a graduate in London in the midst of a recession was not a pleasurable place to be,” remembers Fisher German’s Sam Skinner, when asked how he came to work at the firm. “So I packed up and went home to Northamptonshire to work out what I wanted from life.” That decision led him to apply for work experience at the local Banbury Fisher German office and it is fair to say Sam hasn’t looked back. “One week turned into a whole summer, and by the end of it I had decided on a complete career change and enrolled on the Masters course at Harper Adams University to study Rural Estate and Land Management.”

Sam’s family farm has diversified with an inland marina

One of the best things about my job is the diverse range of clients that I get to meet” He officially joined the firm in September 2010 as part of Retford office’s rural department, with day-to-day tasks covering everything from valuation work to farm agency to compensation work. “This job fits with my roots as a farmer’s son – I love the variety and that it allows you to be fully engaged with farming but not necessarily sitting on a tractor.” He adds that his farming connections have also given him first-hand experience of the business challenges his clients face, making him well placed to offer advice. “Like many farms in the area, [my family] can’t derive all of our income from farming as there are too many risks associated with that,” explains Sam. “The ongoing battle with commodity prices coupled with Brexit and recent uncertainty over land values is bringing opportunity to the sector, but has also led

many to look for other avenues of income. On our farm, we have just completed the build of an inland marina that has been five years in the making.” In April this year, Sam’s ‘day job’ changed considerably when he was promoted to partner and asked to assist with the merger of Fisher German’s newly acquired Bedford office. The opportunity coincided with his desire to relocate closer to the family farm and taps into his strengths as a people person. “One of the best things about my job is the diverse range of clients that I get to meet. I thrive on meeting people and getting to grips with specific requirements, and matching the best colleagues within Fisher German to an individual’s needs.” Sam’s energy is infectious and now that the Bedford office is fully operational, he is keen to “grow the team and introduce

a commercial aspect. It’s an exciting time to join with a number of development schemes in the planning phase”. Outside of work, Sam finds plenty to keep him occupied in the little spare time he has. As well as being a Northampton Saints supporter and regular snowboarder, Sam says he is guilty of enjoying all the stereotypical land agent hobbies including shooting, whilst also trying to train his “enthusiastic” black Labrador puppy ‘Inca’. And he often finds himself signed up to events that he is not entirely prepared for. “I completed a 100-mile bike ride last summer in Lincolnshire that was absolutely horrific,” he says, laughing, “and most recently I was talked into a charity event called ‘Airfield Anarchy’ with the Nottinghamshire Fisher German team, which was every bit as bad as it sounds!” For further information, please contact Sam Skinner on 01234 823661 or email sam.skinner@fishergerman.co.uk

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Sector insight Change brings opportunity

Positive across the sector

Emerging tech drives growth

David Merton, head of rural

Kevin Benson, head of commercial

Darren Edwards, head of energy & renewables

Despite the high yields of 2015, commodity prices remain weak. This, coupled with late Basic Payment Scheme (BPS) payments, has pushed cash flows for many to their limits. After the sustained period of strong land values, farmland values are coming under increasing pressure. The commodities markets are affecting the range of purchasers in the market place and farm profitability is an increasing worry for those needing to secure finance. Non-agricultural buyers are supporting the market in urban fringe areas and those with rollover monies continue to play a key role. The level of land on the market so far in 2016 remains consistent with the same period in 2015, and is significantly greater than the previous year. Yet the long-term forecast for land values remains strong given the limited supply and the cyclical nature of the commodity markets. Uncertainty remains over the UK’s membership of the EU with the Brexit referendum. The fact that there may be significant changes to the way UK farming is supported is beginning to resonate with the sector, and if the result is ‘Leave’ then uncertainty will continue for several years. Despite this, the outlook for rural estates remains positive. Agricultural rents may come under pressure, but the let residential sector continues to see increased demand from private renters, and there are good residential opportunities in sought-after areas. A business with a diverse range of property assets is in a strong position during the current climate and movements in the development market offer good opportunities for those with strategic land.

The story across the commercial sector is a positive one, with all offices reporting demand outstripping supply, particularly in the industrial and logistics sector, which has led to pressure on rents and capital values. On freehold sales, this demand is mainly from owner-occupiers keen to make the move from tenant to property owner with bank support. The issue now is the lack of good quality property. The return of the office market has been very noticeable, with the number of office enquiries being received by Fisher German the highest of any commercial property type in the first quarter of 2016. The cooling of the investment market has continued into 2016, but that cooling needs to be taken in context. Most investments are still achieving client expectations in terms of price, but we as agents do not have several under bidders for every instruction, and competitive bidding is less likely. Brexit is being cited as a factor by many, but no matter what the outcome, the political environment is likely to be turbulent and this may put off investors until things calm down. We have also seen a sharp rise in rent review and lease renewal work. Many landlords held off increasing rents during the recession in order to retain tenants, but following this period many landlords are surprised by how quickly some of these rents have recovered, especially in the logistics and industrial sector. Unfortunately, retail and office rents in some areas are still below prerecession levels, but landlords and tenants alike need to take advice – now more so than ever – as agreeing the wrong rent/deal will have serious implications to capital values.

The doom and gloom triggered by a series of legislative changes and support withdrawals from the renewable energy sector in the second half of 2015 captured most headlines. However, 2016 has brought about a change in focus with emerging energy storage technologies providing a platform for decentralised, locally integrated electricity networks. Decentralised, or distributed energy, is not new. The UK electricity and gas systems were originally distributed systems that were combined over the last century to realise economies of scale and security of supply. In essence, we are now looking at a market reversal with greater demand for flexible energy supplies amidst increased penetration from variable renewable generators (wind, solar PV, hydro) and falling decentralised energy technology costs, for example, energy storage. This year, the energy storage market is expected to be five times bigger than 2014, driven by growth markets in the US, Japan and South Korea, but also falling battery costs, which have come down 60% in the last five years. While behind the meter installations will represent the bulk of future storage additions in the short term (driven by attractive PV self-consumption economics) we are already seeing the emergence of a utility scale market with development companies seeking four to six-year options on land adjacent to 11kV/33kV substations. In a new but fast-evolving market place, it is important not to be caught out in a ‘land banking’ exercise, so I would urge anyone approached by an energy storage developer to seek professional advice to ensure you get the commercial terms right.

For further information, please contact David Merton on 01530 410806 or email david.merton@fishergerman.co.uk

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For further information, please contact Kevin Benson on 01777 719148 or email kevin.benson@fishergerman.co.uk

For further information, please contact Darren Edwards on 01858 411236 or email darren.edwards@fishergerman.co.uk

SECTOR SPOTLIGHT

Fisher German’s sector heads look forward to what lies ahead for the firm and its clients

New homes will slow prices

Modest improvement in activity

Step-change across the industry

Ben Marshalsay, head of development

Alasdair Dunne, head of residential

Giles Lister, head of utilities & infrastructure

The current supply of residential development land is still not enough to hit the government’s target to build 200,000 new dwellings per annum. This continues to drive house prices upwards across the UK. However, there has been a significant increase in the number of new homes granted permission, which should now start to slow price rises. While the increase in the number of permissions assists future supply, the complexities in the planning system remain. Planning continues to be a burden in some regions to developers, with the length of the process, and the political nature of decision making at a local level being a major headache, especially for large speculative schemes. Yet the rise in house prices over the past year is not reflected in respect of land values, which have been counteracted by an increase in overall build costs. It is estimated that there is a backlog of almost 500,000 homes across England still waiting to be built – despite having planning consent – because of a construction skills shortage. Many in the sector are awaiting what could be a positive impact on land values as a result of the continued uncertainty created in the market following the government’s starter homes announcement. The demand from developers continues to be strong for ‘oven ready’ development sites in perceived strong market areas and in locations where high sales rates can be achieved. Commercially, the logistics sector has seen significant development, and the desire of some developers looking to speculatively develop schemes seems to be gathering pace. Demand is generally owner-occupier led, with banks keen to lend.

Whichever index you like to use, it is clear that nearly every region recorded average price rises over the first part of 2016. Market activity levels have been less reliable. We saw a surge in market activity driven by holiday home and buy-to-let markets in an effort to beat Osborne’s stamp duty surcharge earlier this year, but overall we continue to predict modest improvement in activity levels following the subdued 2015 market, but with some uncertainty due to Brexit. The government appears focused on improving housing market activity with Help to Buy, shared ownership and starter homes schemes but while house prices relative to earnings continue to be elevated, first-time buyers will struggle to access the housing market forcing many of them to remain as tenants. Looking forward, despite the barrage of legislation that landlords face to put them off entering the buy-to-let market, if tenants continue to demand properties then there is an opportunity for landlord’s to simply pass their increased costs onto their tenants, who will in turn find it harder to save a deposit. In this scenario it is not impossible to envisage an era where traditional motivation to buy at the bottom and move up the housing ladder is less compelling, and transactional volume will be fuelled by landlords, together with homeowners in the middle and upper markets. Traditional market movement could be restored by house building – if the supply of new homes outstripped demand for a couple of years, then basic economic principles dictate that the price of a starter home would fall and first-time buyers could access the market.

There are 32 companies regulated by Ofwat in the water and sewerage sectors where the price, investment and service package that customers receive is set. Ofwat’s new outcomes regime within the AMP6 price review, which focuses on customers, is a step-change across the industry. Going forwards, companies will have a set of specific outcomes to monitor, control and ensure benefits are realised and delivered within the agreed timeframes underpinned by the Outcome Delivery Incentive (ODI) scheme, with incentives and penalties associated with delivery. As a consequence, companies that have made an average of 29 performance commitments will have to prioritise commitments against price control. Businesses must adapt their organisational setup to drive the required changes through management and their supply chain. They will need to have full visibility of performance against each outcome to facilitate an improvement to the ODI position. Up-to-date information on tracked outcomes will be key to working more efficiently to find the savings required. This re-orientation and active management of ODIs across business activities – where new technology and innovation will be key – will improve reliability, cost efficiency and reduce energy consumption and capital expenditure. This is likely to impact on the existing supply chain contracts as companies look to drive efficiencies and create focus on the AMP6 performance commitments and outcomes. Companies will need to ensure the management of risk, which will create challenges and opportunities across the sector throughout the supply chain.

For further information, please contact Ben Marshalsay on 01530 567465 or email ben.marshalsay@fishergerman.co.uk

For further information, please contact Alasdair Dunne on 07501 720412 or email alasdair.dunne@fishergerman.co.uk

For further information, please contact Giles Lister on 01227 477877 or email giles.lister@fishergerman.co.uk

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Office directory Contact details for Fisher Germanâ&#x20AC;&#x2122;s 15 national offices

1 St Helens

Phone 01744 451145 sthelens@fishergerman.co.uk Rainford Hall Crank Road WA11 7RP

2 Chester

Phone 01244 409660 chester@fishergerman.co.uk 4 Vicars Lane CH1 1QU

Fisher German sectors Commercial

3 Knutsford

Development

Phone 01565 757970 knutsford@fishergerman.co.uk 2 Royal Court Tatton Street WA16 6EN

Energy & Renewables Residential Rural Utilities & Infrastructure

4 Stafford

Phone 01785 220044 stafford@fishergerman.co.uk 2 Rutherford Court ST18 0GP

5 Retford

Phone 01777 709943 retford@fishergerman.co.uk 21 Exchange Street DN22 6BL

6 Newark

Phone 01636 642500 newark@fishergerman.co.uk 12 Halifax Court Fernwood Business Park Cross Lane NG24 3JP

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15 Canterbury

Phone 01227 477877 canterbury@fishergerman.co.uk Court Lodge Farm Offices Godmersham Park CT4 7DT

14 Bedford

Phone 01234 823661 bedford@fishergerman.co.uk Park Farm House Park Road Stevington Bedford MK43 7QF

13 Hungerford

Phone 01488 662750 hungerford@fishergerman.co.uk The Cuttings 120 High Street RG17 0LU

12 Thame 1

Phone 01844 212004 thame@fishergerman.co.uk 17 High Street OX9 2BZ

3 2

6 4

11 Banbury

Phone 01295 271555 banbury@fishergerman.co.uk 50 South Bar OX16 9AB

7 8

10 Worcester rural

Phone 01905 453275 worcester@fishergerman.co.uk 2 Birch Court Blackpole East WR3 8SG

11 12

Worcester agency

Phone 01905 726220 worcesteragency@fishergerman.co.uk City Wells House Sidbury WR1 2HZ

9 Bromsgrove 7 Ashby-de-la-Zouch Phone 01530 412821 ashby@fishergerman.co.uk The Estates Office, Norman Court Ashby de la Zouch LE65 2UZ

8 Market Harborough

Phone 01858 410200 harborough@fishergerman.co.uk 40 High Street LE16 7NX

Phone 01527 575525 bromsgrove@fishergerman.co.uk 8 New Road B60 2JD

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