Who am I? James Carter (Jim) LLM FRICS ●
Deputy Chairman and previous CEO, Eric Wright Group Ltd
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Lancashire Enterprise Partnership Board Member
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Chair, Lancashire, Preston & South Ribble City Deal
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Former Chair of RICS Management Board and Governing Council Member
LEPs - The Way Forward • • • •
Single agency Challenging Devolved Power Strong Accountability and Governance • Financial Conduit • Voice of Business
Lancashire Enterprise Partnership Priorities • • • • • • •
Raising the Profile and Visibility of Lancashire Establishing Lancashire’s role in the Northern Powerhouse Inward Investment and Strategic Development Infrastructure Investment Business Support Supply Chain and Sector Development Skills Development
The LEP’s growth ambitions clearly set out in its STRATEGIC ECONOMIC PLAN (SEP) – currently being refreshed
Lancashire Enterprise Partnership Tools • Intellectual Capital– (A creative collaboration of leaders from business, universities and local authorities)
• Financial Support/Investment • European Funds • Growth Deal • Growing Places
Specifically Pennine Lancashire Where the LEP has completed most of its commercial investments
• Major Growth Deal allocations • Growing Places investments • Starter Homes initiative (With HCA – 1st in UK)
Key Projects • M65 Infrastructure Investment – M65 Growth Corridor • Brierfield Mill • Spinning Point • Blackburn-Bolton Rail Corridor • Blackburn Cathedral Quarter • Burnley Vision Park • Burnley Bridge • Innovation Drive • Rail links to Manchester
The Importance of Housing The creation of high quality living space must go hand in hand with the growth in employment • On the Banks • Bridge Walk apartments • HCA starter homes • New Housing Zone
Pennine Lancashire At the centre of excellence • A long tradition of manufacturing • Continuing to excel in cutting edge technology The LEP’s priority is to support and help expand this through • • • •
Infrastructure Provision Partnership investment in key real estate Business support Driving the skills capital agenda
East – West connectivity • The M65 and beyond • The rail corridor • Establishing links with Manchester, Leeds, Sheffield and North Yorkshire to drive economic growth across the North The LEP working hard with Transport for the North
Pennine Lancashire The Future is Now A place with a “Can do Attitude” • A global reputation in advanced manufacturing Pregnant with potential • Employment and housing
Successful places with homes and jobs
A NATIONAL AGENCY WORKING LOCALLY
HCA – Our Role and Home Building Fund Stuart Sage: Head of Public Sector Land Nigel Barclay: Head of SME’s 21st March 2017
The HCA: Our Role ▪ Accelerating delivery of new homes ▪ Providing more opportunities for people to have a home of their own ▪ Diversifying the market by attracting new entrants ▪ Developing new, innovative construction methods ▪ Supporting devolution and local growth
HCA in Pennine Lancashire ▪ Secured Pennine Lancashire Housing Zone – Opportunities to access HCA funding and support – Officially recognised area to promote and support housing growth
▪ Promoting Starter Homes (£1.2bn Starter Homes Fund) – Working with partners on a number of HCA site acquisitions – Exploring 2 Equity Deals
▪ Delivering Affordable Housing Programme (2016/17) – Currently helped completed over 180 new homes with over £1.4m investment
▪ Exploring Accelerated Delivery (New entrants and shared risk) – Working partners to consider 5 EOI’s
▪ Help to Buy Equity Loan (20% Equity Loan to help you buy your own home) – Almost 700 new homes completed with HtB over last 3 years
▪ £3bn Home Building Fund (HCA Recoverable Investment) – Currently supporting 4 partners to develop new homes in Pennine Lancs.
Unlocking Finance for Developers
Why do we need the Home Building Fund? ▪ Government targeting c200,000 pa new homes in England ▪ New households forecast to grow by 210,000+ pa ▪ 124,520 homes built in England in 2014/15 ▪ The number of SME developers has shrunk from c12,000 in the late 80s to c2,500 today ▪ Lack of Capital and Debt are key barriers for SME developers
Rates of Housing Delivery 1946 - 2015
Private Development 1994 - 2015 200 180
Completions (000s)
160 140 120 100 80 60 40
20 0
1 - 10
11 - 30
31 - 100
Availability of Development Funding
Get Britain Building BFF
Local Infrastructure Fund Build to Rent Custom Build
Source Data: Halifax House Price Index
Strong communities with homes and jobs
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Kick-start
The Home Building Fund ▪ It’s different ……. ▪ Faster process: ➢ No prospectus, no bidding / shortlisting round ▪ Few eligibility criteria: ➢ Sites in England, UK borrower, 5+ units ▪ No maximum LTC, Sales Recycling permitted ▪ Pricing is competitive ▪ All transactions considered (SME, PRS, Custom Build, Development, Infrastructure, etc.) ▪ Risk appetite is high: ➢ Experience ? equity ? viability ?
BFF and Home Building Fund Activity ▪ Across the North we have seen some very high levels of interest ▪ Transactions completed in the last 18 months: – Builders Finance Fund, BTR, CBSP – c.60 transactions completed with c.5,000 homes funded ▪ The new Home Building Fund – Over 1,500 enquiries nationally since October (25% in the North) – First completed transaction in the fund was in the NW (Feb 17) – 12 transactions expected to complete within next 2 months – Timescales typically 10-12 weeks from application
Case Study – Bradford
“Working with HCA was much easier than dealing with a bank” (Joseph Grunfeld).
Case Study – Navigation Point
Contacts Contact the Home Building Fund homebuildingfund@hca.gsi.gov.uk 0300 1234 500 Gov.uk/homebuildingfund For more information please contact: Stuart Sage Nigel Barclay
stuart.sage@hca.gsi.gov.uk nigel.barclay@hca.gsi.gov.uk
Over to our next 2 speakers who will talk about what it is like to work with the HCA ‌..
QUALITY IS A FAMILY TRADITION info@beboys.co.uk
A bit about us • Over 55 years in business • Local employer • Community benefit and social value • Investors in People Bronze Award • ISO accredited: ISO9001:2015 and ISO14001
What we do • Property investment over two million square foot of space • Commercial and residential developer 200 acres development land 40 years NHBC • Construction company £100,000 to £5 million projects
Some of our Clients
Investments
J2 Business Park BURY
Waters Meeting BOLTON
J2 Hydro BURY
J2 Hydro BURY
Construction
Leicester Ball Hall LEICESTER
Goshen Gymnastics Centre BURY
Urmston Grammar School MANCHESTER
Burnley College BURNLEY
Renaissance Development Bolton
Developments
Waters Meeting BOLTON
J2 Business Park BURY
We’d love to hear from you JOHN BOYS Director 01706 211 368
Or contact info@beboys.co.uk
www.beboys.co.uk
Working together
QUALITY IS A FAMILY TRADITION
Station Road PADIHAM
Whitehead Place RAWTENSTALL
£1m of HCA funding ‘Stalled’ scheme QUALITY IS A FAMILY TRADITION completed
Whinberry Place RAWTENSTALL
£1.7m of HCA funding QUALITY IS A FAMILY TRADITION Accelerated delivery
Greensnook BACUP
HCA Funding agreed Accelerated delivery QUALITY IS A FAMILY TRADITIONof new homes
HOUSE BUILDERS IN ROSSENDALE QUALITY IS A FAMILY TRADITION SINCE 1973
HCA FUNDING MOTIVATED TO QUALITY IS A FAMILY TRADITION DELIVER NEW HOMES
QUALITY IS A FAMILY TRADITION info@beboys.co.uk