Commercial property feels the full force of credit crunch

The full force of the credit crunch is now being felt by the European commercial property market, according to new research by Cushman & Wakefield.

John Duckers, Business Editor, Birmingham Post - 26 May 08

It said investment volumes in the first three months of the year fell 37 per cent on the same period in 2007, while yields rose at their fastest since 1992. In the UK, volumes fell 52 per cent over the same period.

And, with confidence shaken and uncertainty over pricing impacting almost as much as the lack of affordable debt, the market is ready for more woe to come.

To date, however, the occupational side of the market has held firm, with prime rents rising 11 per cent in the year to March. As a result, total returns have remained in positive territory, with an all-sector prime average of 7.1 per cent for Western Europe - full article

The property-seminar millionaire who helped ruin an army of wannabe landlords

Jim Moore considers himself a “victim” of the credit crunch. “But I don’t want to whinge about it,” he remarked bravely last week. Many of his customers may think that that is the ultimate in barefaced cheek. Not even Max Clifford, whom Moore hired to handle his PR when things began to get sticky last year, will dissuade them that they’ve been taken for a ruinous ride by “Mr Buy-to-Let”.

MoneyWeek.com - 16th May 2008

As The Mail on Sunday points out, the collapse of Moore’s property seminar company, Inside Track, “has left an army of amateur landlords wondering whether they will ever see compensation for investments that went hideously wrong”.

Moore, a former perfume pyramid salesman, set up shop in 2002 and began carpet-bombing the media with advertisements, says The Guardian. At free taster workshops, packed with inspiring rags-to-riches stories, would-be punters were told they could “start from scratch [and] live on easy street instead of struggling for a living”. Those hooked (and the pressure was considerable) were encouraged to pay £2,500 for a weekend of “property investment education” - full article

Taxman’s new initiative against second property owners

Hefty fines could be in store for owners of second properties who believe they do not owe income tax because rent revenue is swallowed up by mortgage payments.

They are being targeted by a fresh HM Revenue & Customs (HMRC) campaign against landlords who have not declared rent on their tax returns.

“HMRC believes this campaign will generate significant arrears from unsuspecting taxpayers,” said Alan McCann, a director of tax at business advisers DTE.

“HMRC is confident of success because information from stamp duty land tax returns means it can match properties to individuals’ declared principal private residences and take matters from there.”

The campaign is initially a pilot exercise with an option to launch a major campaign depending on results.

Continue reading Taxman’s new initiative against second property owners…

Regus launches revolution for disaster recovery industry

LONDON, 15th MAY 2008: Regus, the leading global provider of workplace solutions, has announced the launch of Regus Workplace Recovery, the most affordable, flexible business continuity service for businesses of all sizes.

Regus Disaster Recovery provides businesses with immediate access to business facilities if their workplace becomes unusable. Whereas other providers demand a monthly fee of around £400 per person,* with Regus businesses will only pay a nominal annual sum which starts at only £49 per employee. Only in the unlikely event of a disaster, do customers pay the additional office costs which are most likely to be covered by their insurer.

Regus also provides workspace in the most comprehensive variety of locations, in the UK and around the world. With over 950 locations globally, Regus Disaster Recovery provides access to three times more sites than the existing top two providers combined and businesses don’t have to specify in advance where they want their disaster office to be based. Until now, there hasn’t been a company that can provide such geographic choice to companies of all sizes. The Regus Disaster Recovery suite of products provides unrivalled affordable access, choice and convenience.

Continue reading Regus launches revolution for disaster recovery industry…

Headmaster’s health and safety conviction overturned

A headmaster who was found guilty of health and safety offences following the death of a three-year-old pupil has had his conviction overturned by the Court of Appeal.

20 May 2008 - This case has implications for landlords

James Porter, who has been head of Hillgrove School, Bangor, Gwynedd for over 30 years, was prosecuted by the Health & Safety Executive following the death of Kian Williams.

Kian jumped from a flight of steps in a remote part of the playground in July 2004 while pretending to be Batman. He jumped from the fourth step but misjudged the movement, tripped on the final step and landed head first.

Although the fall did not break his skin or fracture his skull, he suffered secondary swelling of the brain and died five weeks later from MRSA.

Continue reading Headmaster’s health and safety conviction overturned…