Mastering the motorway

Looking ahead beyond the tough economic conditions, East Renfrewshire Council, Scottish Enterprise and Patterton SPV (in Administration) has appointed Jones Lang LaSalle (JLL) to prepare a master plan and economic assessment for development sites along the M77 corridor. JLL said it is designed to challenge future land use assumptions and identify options that will help long term sustainable economic growth in East Renfrewshire and the city region. Craig Wallace of JLL said: “The study will seek to identify short, medium and long term actions, as well as considering deliverability from a planning, technical and market perspective.”

Miller Developments is certainly taking the long view and is backing this up by buying sites. It has bought the 120 acre former home of the Hillman Imp car at Linwood from the Receivers of Mountgrange. The site has planning permission for a mixed use scheme but Miller is now discussing prospective schemes with the local authority.

One long term problem increasingly rearing its head is the shortage of Grade A office space throughout the UK. Mike Buchan of JLL said: “In contrast, Grade B office space carries significantly more downside risk for landlords and, while we have seen many significant releases of this type of office space by occupiers, we expect its level to remain inflated. “

Clearly the logic of the market is that more Grade B space will be refurbished or converted, some to residential use. Interestingly, some commercial values are being cut in central Glasgow, as witness two potential restaurant/retail sites in Mitchell Street, close to the top shopping venues of Buchanan and Argyle Streets.

Mark Broderick of James Barr said: “The market has quietened down compared with 2010 and is subdued with deals taking longer to complete. This is a good time for potential occupiers, but they are putting off moving.” One property that has come onto the market is the 4,162 sq.metres (44,800 sq.ft.) former Virgin Media call centre at 60 Maxwell Street, a stand alone property on a landscaped site. It can be leased or purchased through JLL.