The best of RESi360, 2024

By Charlotte Christopherson and Megan Sawh

Last week, SEC Newgate, along with over 300 delegates from across the property industry, descended on the Wokefield Estate outside Reading to attend the annual Property Week RESi360 conference. Four of SEC Newgate’s property experts were on the ground to participate in a wide range of discussions about the current state of the industry.

The mood of the conference was one of cautious optimism, with delegates waiting to see how the new government’s positive rhetoric around housebuilding would translate into solid delivery.  

Below we have compiled our top 6 takeaways from RESi360.

The planning process is hampering delivery

Resourcing and funding are critical to the success of our industry over the next couple of years. Delegates pointed towards the planning process being a key bottleneck in the delivery of new development, leading to resource misallocation and delays in construction.

There is a lengthy pipeline of stock, however due to delays, projects are coming to the market without sufficient funding. Delays are also making adapting homes to market changes much more difficult; homes are therefore more difficult to sell.

Co-Living is the new Build to Rent (BTR)

The geographical areas in which co-living is most popular mirrors where the BTR market was a decade ago. This acknowledges not only how far the BTR market has come but the sector’s similarities with co-living. Both tenures cater to urbanisation and housing needs, whilst prioritising space efficiency and community building, and appealing to a similar audience in prime locations such as Birmingham, Manchester and London.

The scale of BTR developments is shrinking

Despite its growth over the past decade, the UK’s BTR market has stagnated due to the current economic uncertainty, rising construction costs, and changing tenant preferences. These factors have led to reduced investor confidence, causing a decline in large-scale developments, with the average size of BTR schemes dropping to around 200-300 units.

New government should be seen as an opportunity for London boroughs  

The Labour government offers potential benefits for housing in London boroughs by emphasising affordable housing initiatives and increased public investment. Their commitment to tackling the housing crisis aims to boost supply, streamline planning processes, and promote sustainable development.

There is a need for greater pride in the sector

Celebrating success attracts more talent and in turn increases diversity and the entrepreneurial spirit within the industry. Hiring young talent was central to a lot of our discussions, but it is easier said than done. To do this, we have to be proud of our sector and be confident we are building for generations to come.  

“Ride out 2025, and 2026 will be the year!”

Although there is a lot of concern and challenge within the industry as we navigate the current uncertain economic environment, it is important to note that there is light at the end of the tunnel. If we can ride out 2025, 2026 will be the year for real estate...

It is set to be an interesting couple of years for the industry… Watch this space!

Authors: @Charlotte Christopherson and @Megan Sawh