After two years of unprecedented challenges faced by real estate, experts share their predictions for 2022.
Partner, Gerald Eve
In the industrial and logistics market, I expect to see a surge in activity again, with another year of strong rental growth and a very busy investment market. Our order book is strong and I expect this to be repeated across the market.
For me, the main risks to our sector could arise from external influences – for example continued supply chain disruption, a shortage of construction materials and inflation or even new international conflicts, which could dent investor confidence or slow down development.
However, the past two years have proved the industrial and logistics sector’s resilience; I don’t anticipate this changing, whatever happens in 2022. Gerald Eve will continue to work towards the best possible outcomes for our clients, creating success from a variety of positions.
Chief operating officer, Navana Property Group
Three letters have come to dominate debate in property – ESG. In 2022, we need to understand practically what meeting targets looks like and how that can add value to places. ESG doesn’t have to be at odds with developers’ commercial ambitions; in fact, it should help realise them.
We know that designing more efficient schemes reduces operational costs. We know too that developments that deliver positive environmental and social outcomes are increasingly important in investment decisions. Consumers also now want greener, healthier homes and workplaces, with the climate crisis and pandemic fuelling this shift.
Delivering on aspirations will drive sales and leasing rates and this has got to be reflected in the way we shape and bring places to life next year. Property and asset operators have a key role to play here, whether that is helping people in their desire to live more sustainably, encouraging them to support neighbourhood economies or by making sure developments are connected to the community. These are no longer nice-to-haves; they are business essentials.
Managing director and head of European logistics, Trammell Crow Company
Irrespective of the Omicron variant, 2022 will be another high-growth year for the European logistics market. We saw strong demand from occupiers in 2021 and this will continue along with a rise in rents.
Having successfully started our European business in 2021, Trammell Crow Company will grow its footprint and add to our healthy pipeline of logistics developments.
With a number of senior appointments and expansion into new markets, 2022 will take us one step closer to being the premier developer in Europe.
Commercial director, LabTech
As we progress into a more hopeful era, post pandemic, customers need more reasons than ever to be tempted out to bricks-and-mortar destinations. Due to this need to diversify, I expect to see more experiences at the heart of the destinational offer. From brand-new immersive concepts to the more familiar, like a boutique cinema, experience is shaping places; it will be a crucial component as we look to recapture visitor numbers.
Our Camden Markets are embracing experience – an exciting Tomb Raider concept is coming to the Stables Market and there are plans for an observation wheel overlooking Regent’s Canal. New destination Hawley Wharf has 40,000 sq ft of its footprint dedicated to leisure, far more than you’d traditionally expect, with Curzon open and a family-focused concept coming soon. This change will deliver better choice for our visitors and generate new footfall for our retailers and hospitality operators.
Predictions for 2022: Brace yourself…
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Predictions for 2022: Brace yourself (part thirty-nine)