Day 2 at MIPIM 2016Digital Editor
The sunshine of yesterday seems like a distance memory as the wet weather rolls in for day two in Cannes. Luckily the rain didn’t stop play for the Land Aid MIPIM tennis classic, which raised £16, 710 this year.
New West End Company started off the day with Jace Tyrell, Chief Executive of New West End Company, presenting the Global Index of Retail Destinations, developed in partnership with Savills. He revealed that the West End is ranked as the number one city destination for retail in Europe and second in the world, just behind New York. This news was widely discussed throughout the day, which you can read more about here.
The afternoon was a buzz of activity around the London stand as George Osborne unveiled this year’s budget, one of the hot topics at this year’s MIPIM. From sugar tax to stamp duty, everybody at the conference discussed the budget at length. One of the major talking points of the budget was the scrapped plan to exempt large investors from the additional 3% stamp duty. This decision is likely to have a huge knock-on effect, and be a ‘huge blow’ to the private rented sector, as reported by Property Week. The Chancellor unveiled his plans for decreasing capital gains tax from 28% to 20% for top rate tax payers, and 18% to 10% for basic rate taxpayers.
Following this breaking news, London’s West End Retail Destination panel saw the discussion of the West End report and the budget with Jace Tyrell, Anthony Selwyn (Head Central London Retail, Savills), Marie Hickey (Director of Commercial Research, Savills), Richard Leslie (CEO, Dukelease) and chaired by Emily Wright (Features and Global Editor, Estates Gazette). The business rates reforms also played a key part. As we near the 2017 release of the new rates moving on from the 2008 sub prime list, the announcement of any key changes were keenly anticipated. New West End Company chief executive Jace Tyrell gave his comment on the changes to business rates announced in the budget: “I think on rates it’s good but we need to look at the detail. I think it’s good for small retail but obviously in the big city centres like the West End, and up and down the country, we’ve got to look at the costs on medium to large retailers. I think we’re facing up to an 80% increase in the West End next year so we’ve got to look at transitional relief so jobs and growth will be outside of London.”
David Laycock, Development Director, and Fred Scarlett, Sales and Marketing Director, from Clivedale London were busy with multiple press interviews throughout the day. They spent the (drizzly) Wednesday afternoon talking through Clivedale’s current super-prime developments in London’s Mayfair and Marylebone. The ventures include 73 Brook Street, The Mansion, Mayfair Park Residences and 22 Hanover Square.
Meanwhile Nakheel, Dubai’s largest property developer and the only exhibitor from Dubai at MIPIM this year, continued to show off their impressive portfolio of developments to investors across the globe. The developer continues to make waves in the international press as Judith Evans from the FT discusses the company’s future ventures across Asia.
Other key themes from day 2 at MIPIM included the impact of Brexit and what it will mean for the investment market, the prediction of a record take-up of UK warehouse space as retailers continue to go from strength-to-strength and the EG debate on ‘Why global cities rule the world’? Plenty of food for thought!
All the while, the team at Innesco HQ are keeping busy and enjoying sunny London…the shoe firmly on the other foot from most Cannes-based conferences!
We look forward to tomorrow where there is plenty more to come, including the Land Aid Cheltenham Festival – sponsored by Innesco – and the MIPIM Awards. Fingers crossed for Unibal-Rodamco’s Mall of Scandinavia, shortlisted for the Best Shopping Centre award! Given Innesco’s work in launching the Stockholm-based shopping centre over the past few years, we have an invested interest! To stay updated on our on-the-ground news in Cannes, follow the team on Twitter: @Inn_Tweets @DanInnes @TAH_Inn @LOCO_Inn