Our strategy

Driving performance.

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2012 Annual Report and Accounts
(PDF 9.6 MB)
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2012 Property Portfolio
(PDF 1.7 MB)

Strategic priorities

1. Owning the right properties that are tailored to our customers' needs and intensively managing these properties to drive occupancy and rents.

    Progress in 2011/12:
  • Like-for-like properties have seen both occupancy and rents improve over the year.
  • Occupancy growth has been particularly strong in the first half of the year.
  • The majority of our properties are now at or above 90% occupancy, the level at which we can effectively increase pricing.
  • A number of our business centres have achieved their highest rents ever this year.
    Performance in 2011/12:
  • Enquiries up 5% on the prior year.

  • Like-for-like occupancy improved in the year by 1.7% to 87.8%.

  • Like-for-like rent roll up 5% and rent per sq. ft. up 3% in the year.
    Priorities for 2012/13:
    Owning properties that are tailored to our customers' needs
  • Complete refurbishment of Canalot Studios.
  • Commence a further six refurbishment schemes.

Key risks:
Demand for our accommodation declining as a result of social, economic or competitive factors.

Value of our properties declining as a result of macroeconomic environment, external market, or internal management factors.

Failure to meet customer space and service expectations.

2. Maximising the value of our London based property portfolio and its wider opportunities for repositioning and redevelopment.

    Progress in 2011/12:
  • Two refurbishment schemes underway in the year, Canalot Studios in Kensington and Whitechapel Technology Centre.
  • Chester House refurbishment at Kennington Park completed and is now 70% occupied.
  • Six schemes have been progressing through detailed design and are due to commence on site in mid-2012.
  • Planning consents granted for refurbishment at 14 properties.
  • Mixed use redevelopment schemes underway at Wandsworth and Highbury Grove.
  • Two mixed used schemes with planning consent being marketed to redevelopment partners.
  • Four mixed use redevelopment schemes being progressed through planning.
    Performance in 2011/12:
  • Property valuation up 5% in the year.

  • Total property return 13.4% compared to 6.4% for the IPD Universe.
    Priorities for 2012/13: Repositioning and redevelopment
  • Appoint developers for the mixed use redevelopment schemes at Grand Union in Kensington and Bow.
  • Progress planning consent for mixed use schemes at a further four sites.
  • Drive value from continued occupancy and rent roll growth.

Key risks:
Adverse planning rulings.

Construction cost and timing overrun.

Downturn in demand for residential development land.

3. Understanding our customers and enhancing our brand by responding to their needs.

    Progress in 2011/12:
  • Club Workspace business lounges launched at two locations.
  • Collaboration agreement signed with Excell Communications to provide IT and comms services to customers.
  • Inspiresme.co.uk entrepreneur website launched with support events held at various properties.
    Performance in 2011/12:
  • 250 Club Workspace subscribers with 2 sites opened in year.

  • 46 social networking events attended by over 2,000 entrepreneurs.
    Priorities for 2012/13:
  • Enhancing our brand (responding to customers' needs).
  • Roll out the Club Workspace format at four additional centres.
  • Continue the roll out of our 'Digital Programme' meeting the needs of our digital business customers.
  • Develop Inspiresme as a valued platform for advice and support to new and growing businesses.

Key risks:
Changes in the political, infrastructure and environmental dynamics of London.

Failure to meet customer service expectations.

4. Working sustainability as part of everyday business for us, our customers and our partners.

    Progress in 2011/12:
  • Refurbishment completed at Chester House originally built in 1916.
  • Refurbishment of Canalot Studios in Kensington underway.
  • Progress made on a number of schemes that will result in intensification of use and increased employment.
    Performance in 2011/12:
  • £300,000 of Landfill costs avoided.

  • Annual customer satisfaction score 84%.
    Priorities for 2012/13: Sustainable Working
  • Continue support of charities which promote entrepreneurship.
  • Working with customers to lower our carbon footprint.
  • Ensure that our development activities conform with the highest environmental and sustainability regulations and best practice.

Key risks:
Failure to meet regulatory environmental requirements.

Introduction of new requirements that inhibit our activities.

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