We have identified a number of sites within our land portfolio which have retail / mixed use potential. In addition we have a few owned commercial premises. It is our intention to retain ownership of the commercial units we develop, providing additional income streams to the company.
The ambition is to become a niche, well respected commercial property company that is seeking to grow over the next 5 – 10 years.
The planning system proactively supports our strategy of progressing mixed use developments that will contribute to sustainable economic growth and provide high quality sustainable developments. Picking up on these trends, major food retailers have already identified this change in direction, as evidenced by the recent proliferation of the Tesco Express, Co-op and Sainsbury Central format. We have established links with the major retailers and agents in this sector and will be looking to build on these relationships going forward and have already met new entrants.
The focus of our Commercial business to date has been the identification and development of sites that have mixed use potential from our existing land portfolio. The first year has been successful, however it is essential that we build on the success and realise the retail potential on the other sites currently being progress for mixed use within our portfolio.
We expect to grow the Commercial Business over the next 5-10 years. In doing so it is essential that we protect the quality of residential environment within mixed use proposals, and the brand that Mactaggart & Mickel have built up over the last 85 years.
In order to assist with the growth strategy it is essential to identify criteria for making acquisitions. The criteria for growth will be prioritised as follows:
Securing funding from Group to deliver opportunities within our existing portfolio of land.
Redevelopment opportunities which generate income in the short to medium term, which can be redeveloped for residential use or other uses compatible with the Group strategy.
Keenly priced new investment opportunities on attractive lease terms.