N° and issue date : 110520 - 20/05/2011

Circulation : 23146 Page : 40

Frequency : Weekly Size : 85 %
PROPERTYWEEK_110520_40_324.pdf 1125 cm2
Web Site: http://www.property-week.co.uk

ANALYSIS Scotland

EVENTS TheBigDebate

TELLINGSCOTLAND FUTURE
'

On theday theScottishNational Party won historic majority theScottish a

in

parliament heads property from across the UK met discussScotland future.

'

of

to
s

DavidHatcher reports Photographs byMartinHunter .

OPP

The bigquestions Lloyds' list head :

of
real
-
How willLloyds BankingGroupdecrease itsproperty exposure? estate lan Guthrie
-
WilltheSNP' majority be goodforproperty? s

outlined its strategy of

Would independence be good for Scottish business? asset managing and

-
How badly will Scotland behitby publicsector cuts? disposing distressed of

-
How doesScotland compare with other regions attractingoccupiers? in

assets hasinherited it

loyds BankingGroup will use innovative Lloyds disposed £4bn property last of
of

vehicles andstructures manage and reduce to

year and wants reduce its exposure further. to

its property exposure thebank' head real ,

s
of
Sales such asFlagstaffmay be fundamental that. to

estatebusiness supportIanGuthriehas promised. Through anaggregation strategy there was an had difficulties establishing theentity' structure.
"

in

Initiativessuch asthe sale its Flagstaffportfolio of

opportunity bring 60assets together and to

[
]
"

It' s

pretty straightforwardl said Guthrie.

collection 60 UKassets inheritedfrom several
a of

leverage position ratherthan selling them a

,
"

Tennyson hasno assets under ownership and

companies that are now administration shows piecemeal Guthrie explained. there' noshort-term planfor
"

have any assets.

"

in

s
it to

theway forward for Lloyds. something wemay look replicate the

"

This is

to
in

Guthrie alsoalluded Lloyds' agreement with futureand could alsobe something welook
to

it

at in

Independence day
Grainger which hasbeen appointedas its preferred Scotland aswell. As wellastheactivities the banking sector the
"

of

asset managerfor distressed residential property. Lloyds appointedGrainger asasset manager prospect Scottishindependence was central of

to

try ensure thebank gains the best value for

to
to

thedebate onthe day that the ScottishNational

Customer focus theassets hasinherited. it

Party clinched aninfluential majority Holyrood. in

Speakingtwo weeks ago ScottishWidows Grainger will seek balanceshorter-term poll on whether independence would be
"

at

to

In a

Investment Partnership SWIP and Cushman (

)
&

prioritieswith longer-term priorities said Guthrie. ,

"

positive for business Scotland not single vote in

,
a

Wakefield BigDebate Edinburgh onthefuture For example they will look localmarket
'

was cast favourfrom the 140 property

"

s
in
of

, at

in

Scottish property chaired by Property Week' Giles conditions anddecide what the local letting market
,
s

professionals assembled.
Barrie Guthrie stressed that customers would be
,

at
islike and what the shorter-termappetite among is

However was widely agreed bythe panel that ,

it

the centre any decisions on whether borrowers of

the owner-occupier and investmentmarket and ,

anSNP majority could bring about more assertive a

would beplaced administration receivership. make decisions around that. approach policies and campaigning underfirst
in to

or

to

fair say that we all have lessons learn They will prepare business plans and wewill
"

minister Alex Salmond whichwould not necessarily

"

s
It' to

to

from the last few years hesaid We aremindful hopefully get economies scale aswell. benegative for the property industry.
"
"

"

.
,

of

of those lessons and under the new direction , of

However Lloyds hasno plans transfer , to

Some that check and balance with having

"

of

to

our new chief executive AntonioHorta-Osorio [

]
, assets Tennyson its workout vehicle
in
to
"
"

work with other parties willgo so will be ,

it

weare focused on workingwithin communities that similar theRoyal Bank Scotland interesting seewhat happens said
'

"

is
to

of s

to

and supporting our customers through thecycle.

"

West Register Lloyds understood have .

is
to
Malcolm Naish director real estate SWIP ,
of
at

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 N° and issue date : 110520 - 20/05/2011
Circulation : 23146 Page : 41
Frequency : Weekly Size : 85 %
PROPERTYWEEK_110520_40_324.pdf 1125 cm2
Web Site: http://www.property-week.co.uk

Scotland

be fundamental to
the government' long-term s
3.3%% but one considers where wewere 2008 ,
if
in ,

the city economy hascoped remarkably well he

"

Wakefield MalcomNaish SWIP director real ;

,
of

goal sustainable economic growth.

of
,

estate John Burke BAM Propertiesmanaging

; ,
Bryan Laxton UK chiefexecutive Cushman ,
of
said .
"

At theheart that thefactthat 43%% of is

of the
director DavidAnderson Edinburgh council ;
,
& Wakefield said thatEdinburgh' reputation as ,
s
a
workforce graduatequalified equivalent We are is or
.

director city development and Dan of

;
financial centrewas still positive despitethe a ,

seeing lot growth life sciences andrenewable

a
of in

troubles its two biggest banks the Royal Bank energy aswellasnew entrants financial services.
"

Macdonald Macdonald Estates chief executive ,

of ,
,
in

Scotland and Lloyds.

of
Despite Anderson' positivity JohnBurke s
,
,

There arelots skilledpeople out there looking managing director BAM Properties took more
"

of

of

and chairman the ScottishProperty Federation. of

for jobs and there good set-up Tesco which is a IT
.

[
favourable view Glasgow overEdinburgh. of

has takenoffice space Edinburgh and Glasgow We have proved our commitment Scotland by
Myimpression from working with people like
"

"

to

in

]
in [

John Swinney cabinet secretaryfor finance and [

thepasttwo years willhaveseen theeasiest place ]
buying Glasgow development site for 170 ,000 in

[a

sustainable growth that the Scottishgovernment ]

is
set up would beScotland Tesco make very very
to
. ,

sq ft
offices 110 Queen Street aswethinkthe
of
at

]
,

sees the rolethat real estatehas play that and few mistakes he said. Glasgow market quite interesting We just look
"

at

.
is

to in ,

is

supportive the industry. of

[
the actions corporate occupiers andinvestors of

Scotland been quite innovative with the use Public debate andwork our waythrough hesaid.
"

'
"

tax-increment financing and ways funding Laxton also said theeffect thatpublicsectorjob thismarket largelyabout timing and
"

it' s

is it is
In

of

of

infrastructure imagine that will continue and .

I
losses would have on Scotland competitiveness
'

s
not quiteright would say the moment I
at
in

Butwethink
"

we willsee goodengagement with government was perhaps overblown. Edinburgh Glasgow.

"

. it is in

he said. "Alot
peoplesay the public sector bigthing
of
is
a

However Naish didwarn the potential threat

scrappingempty rates relief raise public sector
of

revenue theSNP' next term as hasbeen in

,

s
of

to

,
inScotland Add thatthe banks which from
distance seem begoing reduce their
floorplates and veryeasy take negative ,
.

to

it'
to

s
to

to
,

a
a
Scotland
Property
Week
view he said.
W

implemented England andWales.

"

in

suspect that whether under the SNP

"I
,
or if
But when you look detail the number
"

in
,
of
To watch a
video of
the debate go ,
to

there was moreLabour representation thenew in

people employed thepublic sector nottoo far in

is

proDertvweek.com scottishbigdebate /

government bothwould befaced with similar ,

a
above theUK average Northern Ireland there are . In ,

issue hesaid. ,
"

30%% Walesandthe north 25%% Scotland 22%%

,
in ,
in

Making thepointfrom thefloor Dan Macdonald ,

,
andtheUK average 20%% The perception is
.
is

chief executive Macdonald Estates said Scotland of ,

perhaps that there' more trouble thanwhenyou s

was still long way from independence and that look the detail
'

:
it at
if

,
a

occurred would far from transform thecountry. ,

it
David Anderson director city development ,
of
at

We' still have the same queen we' still have the
"

ll
,
ll
theCity Edinburgh Council which willsuffer ,200 of ,
1

same buildings we' still have thesame institutions ,

ll

joblosses overthenext three years backed thisup ,

andwe' still have the same people he said. by making the point that the Scottish capital had
"

,
ll

Ensuring thatScotland draws inwardinvestors in

actually been relatively resistant thedownturn. to

and remainscompetitive with the rest the UK will Unemployment admittedly up from 1.7%%
"

is to

, ,
of

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No reproduction without authorisation