living

Living

<h2><strong>London, 7<sup>th</sup> October</strong> &ndash;<em></em></h2><p>Annual investment in UK living real estate has exceeded &pound;10bn in the third quarter of 2022, putting living on track for a record year, despite global geopolitical and economic volatility.</p><p>Investors completed &pound;3bn in build-to-rent, student and healthcare transactions in Q3, bringing the year-to-date investment total to &pound;10.3bn, according to JLL.</p><p>This is a 47% rise from the &pound;2bn invested Q3 2021, as investors seek scale through larger deals, reflecting bigger assets, portfolios and higher values.</p><p>BTR quarterly investment has doubled year-on-year, rising to &pound;1.8bn in Q3, compared to &pound;0.9bn in the same period last year. There was a further &pound;0.8bn in purpose-built student accommodation and &pound;0.4bn in healthcare investment.</p><p>Investors across the combined living sectors funded 19,000 homes and beds in Q3 and 63,800 in over 200 deals in 2022. Further deals in legals and under offer would see this rise over the &pound;13.8bn record of 2021.</p><iframe src="https://flo.uri.sh/visualisation/11505276/embed" title="Interactive or visual content" class="flourish-embed-iframe" frameborder="0" scrolling="no" style="width:100%;height:600px;" sandbox="allow-same-origin allow-forms allow-scripts allow-downloads allow-popups allow-popups-to-escape-sandbox allow-top-navigation-by-user-activation"></iframe><p>The rise in investment reflects a sizeable uptick BTR deal size, as larger transactions see the sector rise to account for a larger proportion of total living investment, peaking at 60% of investment in Q3. The sector has accounted for almost half of
    living investment this year, at &pound;4.9bn, on course to top last year&rsquo;s &pound;6bn. </p><p>Excluding land deals and corporate mergers and acquisitions, the average BTR deal size has risen to &pound;127m, up from &pound;49m a year ago. In Q3, the largest living deal was Canada&rsquo;s Alberta Investment Management&rsquo;s &pound;283m purchase
    of Angelo Gordon&rsquo;s portfolio of five BTR schemes in Cardiff, Birmingham, Sheffield and Greater London. </p><p>Other significant deals include Round Hill Capital&rsquo;s &pound;165m forward funding of the Fairfax in Manchester&rsquo;s Piccadilly East. The purchase completed in August and Round Hill Capital said it aimed to &ldquo;unlock further opportunities in
    the coming months and years&rdquo;.</p><p>The growing wall of capital targeting the living sectors comes as economies across the globe struggle with high inflation and rising interest rates. The cost of financing puts pressure on investor margins and real estate transaction volumes.</p><p>Simon Scott, lead director for living capital markets at JLL, said: &ldquo;Although these transactions precede the recent volatility seen in the broader funding markets, the fundamental demand for quality rental housing stock remains at unprecedented
    levels and this is reflected in investor appetite for the product.</p><p>&ldquo;As we are likely to be entering another period of &ldquo;pricing discovery&rdquo; the lack of quality supply and viability challenges, combined with the underlying occupational demand should provide investors with continued confidence of the resilience
    of the living sector and particularly as a hedge to broader inflationary pressures.&rdquo;</p><p>Emma Rosser, associate director for research at JLL, added: &ldquo;A persistent lack of supply of quality rental housing is an ongoing issue for the UK, highlighted by recent rental growth and students and renters struggling to find accommodation. Long
    term investors are looking behind the current market turbulence to provide homes for that growing tenant base.&rdquo;</p><h3><strong>About JLL</strong></h3><p>JLL (NYSE: JLL) is a leading professional services firm that specializes in real estate and investment management. JLL shapes the future of real estate for a better world by using the most advanced technology to create rewarding opportunities, amazing
    spaces and sustainable real estate solutions for our clients, our people and our communities. JLL is a Fortune 500 company with annual revenue of $19.4 billion in 2021, operations in over 80 countries and a global workforce more than 98,000 as of
    December 31, 2021. JLL is the brand name and a registered trademark, of Jones Lang LaSalle Incorporated. For further information, visit jll.com.</p><p>&nbsp;</p>

UK living investment tops £10bn in Q3

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UK living real estate investment exceeded &pound;10bn in Q3 2022, on track for a record year despite global volatility.

Annual investment in UK living real estate has exceeded £10bn in the third quarter of 2022, putting living on track for a record year, despite global geopolitical and economic volatility.

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<em>JLL tracks &pound;3bn in third quarter, putting living on course for a record year</em>

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            <p><strong>Financial viability assessment <strong></strong></strong></p>
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            <p><strong>London, Waterloo&nbsp;</strong></p>
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            <p><strong>187x Build to Rent units plus commercial</strong></p>
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<h2><strong>Ambition</strong></h2>
<p>JLL were instructed to support Grainger&rsquo;s planning application, providing a financial viability assessment (FVA) to illustrate the viable amount of affordable housing that could be provided (17%) for their Build to Rent scheme in Lambeth. The scheme forms part of the OCCC Estate regeneration program, Grainger purchased the 1930s housing estate as part of a deal with the Church Commissioners and became sole owner in 2011.</p>
<h2><strong>Added value</strong></h2>
<p>Our evidence illustrated the financial constraints securing a lower level of affordable housing. Our input at and in advance of the appeal hearing resulted in agreements on multiple points. As a result, Lambeth changed their position and supported our appeal significantly reducing the risks and costs to our client.</p>
<h2><strong>Challenges</strong></h2>
<p>The appeal required fast past discussions on multiple technical viability points that often veered into planning policy. We worked closely with JLL Planning colleagues and the wider team to achieve a successful outcome.</p>
<h2><strong>Achieved</strong></h2>
<p>The appeal was allowed by the Planning Inspector in favour of Grainger plc. Located close to the Old Vic theatre and Waterloo station, the scheme includes the re-provision of 33 new homes for existing long-term residents and 36 affordable homes available at discounted market rent and London Living Rent levels.</p>
<p>JLL&rsquo;s appraisal and report was swiftly re-focused within a short timescale, to enable Urbanest&rsquo;s planning consultants to promptly incorporate the appraisal within its viability assessment, in order to meet tight planning submission deadlines.</p>
<p><a href="https://residential.jll.co.uk/services/valuation-advisory" style="font-size:inherit;font-family:inherit;text-align:inherit;text-transform:inherit;white-space:inherit;word-spacing:normal;caret-color:auto;"><button class="Button primary">Our valuation advisory services </button></a></p>

Viability assessment for Grainger’s OCCC Estate regeneration scheme

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We supported Grainger&rsquo;s planning application by providing a financial viability assessment. Our evidence illustrated the financial constraints of their scheme, securing a lower level of affordable housing.

We supported Grainger’s planning application by providing a financial viability assessment. 

<p>We supported Grainger&rsquo;s planning application by providing a financial viability assessment. Our evidence illustrated the financial constraints of their scheme, securing a lower level of affordable housing.<em> </em></p>

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<p><em>&ldquo;You cannot get through a single day without having an impact on the world around you. What you do makes a difference, and you have to decide what kind of difference you want to make.&rdquo; ― Jane Goodall, Primatologist</em></p>
<p>Our blue planet is at a turning point like never before. Climate change, global warming and resource depletion puts not just our health and wellbeing at risk, but also our future survival. COVID-19 has offered many of us the opportunity to reflect on the world that we want to see in the future, and a world that we can help create. From better use of resources and reduction in plastic consumption and waste to a more balanced way of life that allows us to get outdoors where biodiversity can flourish, there has never been a better time to work towards a healthier and more sustainable life.</p>
<p>Living more sustainably offers us a way to help make a positive difference for both ourselves and the planet. From the places we shop and businesses we support to the food we eat and the places we travel our cumulative individual impact <a href="https://www.jll.co.uk/en/views/do-you-have-a-passion-to-make-the-world-a-better-place ">can make a difference.</a>&nbsp;</p>
<p style="text-align: left;">Deciding where to start when it comes to incorporating more sustainable behaviours into our daily lives can feel daunting. Especially considering how much information is available. To help you live more sustainably, we&rsquo;ve outlined 10 ideas below.<br />
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<h2><strong>1) Change your energy provider</strong></h2>
<p>Probably one of the most well-known ways to reduce your impact is by changing your energy tariff to ensure you&rsquo;re using a renewable energy provider. With working from home, there has never been a more important time to ensure that you're using renewable energy to power your activities reducing your electric impact to zero.</p>
<h2><strong>2) Home improvements</strong></h2>
<p>Not all sustainable improvements cost an arm and a leg, simply switching to LED lightbulbs at home can reduce the energy required for lighting by up to 75%. If you&rsquo;re looking to go one step further, insulating is an essential to prevent heat loss and reduce your bills in the process.</p>
<h2><strong>3) Buy big</strong></h2>
<p>From toilet rolls to toiletries, increase the size of what you buy means bigger volumes, but less plastic compared to buying 2 smaller versions of the same product. Companies like WhoGivesACrap who deliver plastic free bulk toilet roll to your front door also saves you the hassle of having to lug the box around and enables you to reorder direct to your door when your running low as well.</p>
<h2><strong>4) Upgrade your office cutlery</strong></h2>
<p>How many disposable forks or cups have you picked up when in the office or grabbing lunch on the go? Now is the perfect time to invest in a permanent set you can keep at your desk or your locker for when you&rsquo;re on the lunch rush. Even better, opt for a set you can keep in your bag so that you&rsquo;ll never have to pick up on the go cutlery again.</p>
<h2><strong>5) Loose tea and no plastic coffee</strong> </h2>
<p>Did you know the majority of tea bags have plastics in? Or that most coffee comes in plastic. </p>
<p>As a nation of tea lovers and fast living, tea bags and disposable coffee cups are an everyday occurrence but with teabags often being made of plastic infused fibres and coffee cups also having a plastic lining our daily drinks are a pollution problem. When it comes to coffee, just be sure to have a reusable cup with you to avoid more waste. For tea, well why not find a tea brand that doesn&rsquo;t use plastic, there are a few, or opt for loose leaves. After all, with an average of 4 cups of tea per day, you could save 1,460 plastic tea bags from entering the waste system and potentially our water ways.&nbsp;</p>
<h2><strong>6) Shake up your holiday </strong></h2>
<p>Heading to Europe, why not go by train? As well as cutting your emissions by around two thirds compared to travelling by air, going by train also provides the opportunity to make the journey a positive part of the experience. With an increasing number of European countries offering overnight services travelling by train has never been so easy and with free luggage, it can even be cheaper!<br />
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<h2><strong>7) Check your clothing labels</strong></h2>
<p>Over half of all clothes now produced are made from plastic fibres. Checking the label before buying is an easy way to try and ensure you cut down, opting for natural fibres such as cotton, wool, coconut, silk and bamboo instead of polyester, acrylic or nylon. For things like sports kit where plastic is often the main material, why not purchase a guppy bag which will catch the microfibres being shed by your clothes in the wash.&nbsp; With clothes shedding around 700,000 microfibres per wash, helping to stop these from entering waterways is so important.</p>
<h2><strong>8) Leave your phone behind</strong></h2>
<p>With cloud storage soon to overtake aviation as a greenhouse gas emitter, leaving your phone (especially your work phone) at home has never been more important when we&rsquo;re travelling. If you can&rsquo;t resist the urge, be mindful to switch off apps, automatic cloud uploads and photo storing to reduce your impact. One last note is to be very careful not to geotag your locations when abroad, especially if wildlife is involved. There have been cases&nbsp;of poachers finding endangered species from tourist locations. </p>
<h2><strong>9) Invest in companies you believe in</strong></h2>
<p>Although our own actions are important, the only way we can collectively make real change is by supporting businesses that are doing the right thing. Where we save, store and spend are money all matter. So be sure to opt into sustainable pension funds, encouraging your company to offer this as standard, if possible switch to banks which are no longer investing heavily into fossil fuel production and spend your money with companies you genuinely believe in because it is the top 100 polluting companies who account for 71% of global emissions that we need to trigger change within.</p>
<h2><strong>10) Influence your place of work to do better</strong></h2>
<p>Finally, if you don&rsquo;t think your workplace is doing enough to tackle the climate crisis, tell them. As employees, we are all accountable to make our businesses better.</p>
<p>At JLL, together with our partners, we aim to drive disruptive and impactful change by embedding sustainability into everything we do. By helping you take a responsible and sustainable approach that contributes to a better world, we are working to shape the future of real estate.</p>
<p>&nbsp;</p>
<button id="btn-1" class="Button primary">Download JLL&rsquo;s Sustainability Report (2019)</button>
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<img src="2e15be6a-e6b0-4677-ac36-702c5a174737" data-displaymode="Original" alt="Erin.Williams (1)" title="Erin.Williams (1)" /><br />
<p style="text-align:center;">Erin Williams &ndash; Consultant Upstream Sustainability Services</p>

Living sustainably in 2020

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Climate change, global warming and resource depletion means there has never been a better time to work towards a healthier and more sustainable life.

COVID-9 has offered many of us the opportunity to reflect on the world that we want to see in the future, and a world that we can help create.

<p>Climate change, global warming and resource depletion means there has never been a better time to work towards a healthier and more sustainable life.<br />
<strong> </strong></p>

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<p>The Living sectors (student housing, coliving,&nbsp;multifamily, and later living) are a key component of the real estate market and fundamentally driven by structural and demographic change. On that basis, are the changes driven by COVID-19 supportive of that or do they raise new challenges and opportunities for investors, developers and operators?</p>
<p>Our latest article discusses the above question further, delving into each of the&nbsp;Living sectors. Download the article below.</p>
<br />
<button id="btn-1" class="Button primary">Download article</button>

Reimagining Living: Covid-19 and its impact on the Living sectors

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The COVID-19 pandemic and the ensuing lockdown has had a major impact on our way of life. But how have these changes impacted the Living sectors and those looking to invest in these asset classes?

Are the changes driven by COVID-19 supportive of that or do they raise new challenges and opportunities for investors, developers and operators? Our latest article explores further.

Reimagining Living: Covid-19 and its impact on the Living sectors 

<p>The COVID-19 pandemic and the ensuing lockdown has had a major impact on our way of life. But how have these changes impacted the Living sectors and those looking to invest in these asset classes?</p>

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<p>On 8<sup>th</sup> July 2020, Chancellor Rishi Sunak announced the Stamp Duty Holiday, updating the previous tax rates for those looking to purchase a residential property in England and Northern Ireland. The threshold for paying stamp duty tax has been raised to &pound;500,000. Whether you&rsquo;re looking for your first home, upsizing or downsizing, or simply want to add to your existing property portfolio, this new change could help you to save money.</p>
<p>Demand to move has spiked since the stamp duty holiday was announced in July. Rightmove reported an uplift in traffic to their website by 22% in the first half hour following the stamp duty announcement (Rightmove and Google Analytics, 8<sup>th</sup> July 2020), and new listings on the property portal are up by 50% compared to July last year (Rightmove, August 2020). Buyers and sellers tempted by the stamp duty holiday are more than ever ready to move.</p>
<p>Nick Whitten, Head of UK Living Research at JLL reported:</p>
<p><em>&ldquo;There is a lot of pent up demand for new homes in the UK &ndash; <a href="https://residential.jll.co.uk/insights/news/stamp-duty-tax-holiday-should-trigger-stronger-than-anticipated-bounce-in-housing-demand"><em>our research</em></a>&nbsp;shows more people are now looking to move home in the next two years. This stimulus could trigger a stronger than anticipated bounce in demand by allowing aspiring purchasers to use their stamp duty saving towards a higher deposit.&rdquo;</em></p>
<h2><strong>What does the Stamp Duty Land Tax (SDLT) change mean for you and how can you benefit?</strong></h2>
<p>The estimated cost of moving home in 2020 in the UK is &pound;8,951 according to comparemymove.com. The stamp duty holiday will help you save on your property purchase, if you buy and complete before 31<sup>st</sup> March 2021. </p>
<p>Why not use your savings to give your new home a lift? Purchasers buying a new property can save up to &pound;14,999 which can be used to update your new space. Refresh and brighten up open-plan living areas with a new colour scheme, soft furnishings, a new feature wall or upholstering the old furniture to revitalise a room. </p>
Explore our extensive range of properties and find out how much you could save on your new home using our <a href="https://residential.jll.co.uk/stamp-duty-calculator">stamp duty calculator</a>&nbsp;.

We’re all going on a Stamp Duty Holiday

Discover how much you can save until March 31st 2021 in our latest blog post 

Stamp Duty Update 2020: read our latest blog post to discover what this means and how can you benefit

<p>Stamp Duty Update 2020: what does this mean and how can you benefit from this unique and exciting opportunity</p>

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<h2><strong>Home working during European lockdowns </strong></h2><p>In the <a href="https://residential.jll.co.uk/insights/research/housing-needs-and-resident-preferences-across-europe-during-covid-19">previous blog</a>, we identified shifting preferences on home location and priorities within the home itself. Many of these have been stimulated by much more time spent at home under &lsquo;shelter in place&rsquo; orders, as economic activity has drastically shifted from offices to residential units.</p>This blog unpicks the changing nature of peoples&rsquo; experiences and expectations for working from home, and leads onto identifying the similarities different socio-demographic cohorts exhibit across the whole European sample, including wider changes in home preferences in light of Covid-19.<br /><br /><h2><strong>Working from home</strong></h2><p>Covid-19 has triggered a widespread temporary shift to homeworking. Government guidance across the continent almost unilaterally was to work from home wherever possible. Time spent at work fell, compared to normal, between 83 and 90% during its nadir under lockdown, according to Google Trends.</p>69% of survey respondents worked infrequently (less than once a week or never) before Covid-19, but being forced to work from home for a prolonged period has changed perceptions and expectations moving forward. In a post-Covid-19 world, our respondents want to work from home more, with the most common preference (53%) being 1-2 days per week. The below chart shows that the majority of flows are moderate changes to habits. For example, those who never work from home are now mostly wanting to work once or twice a week, rather than all the time. Indeed, the same proportion (7%) of respondents are looking to work from home full-time.<br /><br /><img src="https://dev-cms-resi.eu.jll.com/images/default-source/default-album/graph-1---living-prioritiesdd2906d281be463a9b788c86df40000b.png?sfvrsn=ca7b6573_0" style="vertical-align:middle;" title="Graph 1 - Living priorities" data-displaymode="Original" alt="Graph 1 - Living priorities" /><br /><p>It is worth noting that changing work from home preferences does not necessarily correlate with lower overall office space demand. The equation is much more complicated than this, as discussed in JLL&rsquo;s &lsquo;<a href="https://www.jll.co.uk/en/trends-and-insights/research/future-of-office-demand">The Future of Global Office Demand</a>&rsquo; paper, and includes factors relating to office design and commuting patterns, as well as technological influences. </p><p>Most of the changes from our survey are minimal, and are likely to soften as people return to work and realise the benefits that personal interactions can have on productivity and collaboration in particular. Indeed, four months on from the first lockdowns, we are starting to a see a significant return of workers to their offices, albeit at limited capacity for now. As discussed in the earlier blog, people are looking to recreate the professional working environment at home, with second screens, office chairs, spare rooms and so on, meaning they value quality set ups. Indeed, there are many aspects of office life that simply cannot be replicated in a permanent work from home situation. There are many other factors at play as we look to the future across Europe: societal customs across the continent, ability for individuals to balance work and home lives, and ultimately employer rules and receptiveness this change. </p>One of the interesting elements to this is the differences between age groups across our sample. Younger cohorts were significantly less likely to regularly work from home, with only 24% of 18-34s working from home once a week or more. The pandemic has significantly disrupted this trend, with all age groups relatively equally likely to want to work from home once or twice per week.&nbsp;<br /><br /><img src="https://dev-cms-resi.eu.jll.com/images/default-source/default-album/graph-2---living-priorities.png?sfvrsn=1634891_0" style="vertical-align:middle;" title="Graph 2 - living priorities" data-displaymode="Original" alt="Graph 2 - living priorities" /><br /><h2><strong style="font-size:18px;">Towards a cohort classification</strong></h2>One of the most striking things about the survey results is how similar experiences have been, and the strong similarities of preference for those at different life stages. Drawing on themes from both blogs, the below graphic tries to identify different socio-demographic cohorts and their headline results from the survey. We can recognise the groups most likely to look to move, where their preference would be, what they want out of a home. The changing intention around home working is also notable different, perhaps showing the demographics the offices of the future should be more targeted towards.&nbsp;<br /><br /><img src="https://dev-cms-resi.eu.jll.com/images/default-source/default-album/graph-3---living-priorities.png?sfvrsn=33046ac1_0" style="vertical-align:middle;" title="Graph 3 - living priorities" data-displaymode="Original" alt="Graph 3 - living priorities" /><h2><strong>Temporary or permanent?</strong></h2><p>The survey was conducted while much of Europe&rsquo;s population was in the deepest throngs of lockdown and is therefore likely that results reflect a bias for immediate concerns. As the continent&rsquo;s lockdowns ease and a semblance of normality emerges, it is possible that some views will soften, but other preferences will endure. </p><p>We are looking to re-run the survey in the autumn to understand the permanency of these views &ndash; how far away is the &lsquo;new normal&rsquo; from past expectations?</p><p style="text-align:center;"><img src="https://dev-cms-resi.eu.jll.com/images/default-source/default-album/thomas-colthorpec1eb2d7194d94b96a1dcd11ed2e1eead.tmb-medium.jpg?sfvrsn=2397beb_1" style="vertical-align:middle;" title="Thomas.Colthorpe" data-displaymode="Thumbnail" alt="Thomas.Colthorpe" /></p><p style="text-align:center;"><a href="mailto:Thomas.Colthorpe@eu.jll.com" target="_blank"><button class="Button primary">Contact</button></a></p><div style="margin:15px;"><p style="text-align:center;">Tom Colthorpe<br />Senior Analyst</p></div>

Home working during lockdown across Europe

In the second of two blogs based on our JLL employee survey, we interrogate shifting work from home patterns under lockdown across Europe and how they influence people’s perceptions of the home. 

In the second of two blogs based on our JLL employee survey, we interrogate shifting work from home patterns under lockdown and how they influence people&rsquo;s perceptions of the home. Drawing on all the data, we demonstrate there are significant similarities in the experiences and expectations of distinct socio-demographic cohorts across Europe.

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<h2><strong>Could Covid-19 trigger a growth in live/work units?</strong></h2>
<p>COVID-19 has led to a widespread shift to home working and it seems certain that in the future we will spend much more time working and living in our homes. But will this shift allow for a revisit to delivering purpose built live/work units in the UK &ndash; a concept that emerged in the UK in the 1990&rsquo;s and fell away again by the mid-2000&rsquo;s.</p>
<p>Originally inspired through &lsquo;loft living&rsquo;, the modern concept of live/work housing schemes originated in the United States and was seen as a way to regenerate inner city areas made redundant by the decline of the American manufacturing industry. The appeal for &lsquo;loft living&rsquo; in the 1980&rsquo;s resulted in the gentrification of a number of neighbourhoods in America and appeared in the UK in the early 1990&rsquo;s. </p>
<p>As a concept it was initially welcomed by many Local Authorities in the London area, with several boroughs developing Supplementary Planning Guidance for this development type. This allowed for some element of development control over the separation of &lsquo;live&rsquo; and &lsquo;work&rsquo; areas within the apartments. </p>
<p>As time went on, developers successfully challenged the controls within the guidance, principally the work space requirements and the quantum of affordable housing; which led to scepticism within some planning authorities, with many growing to see the concept as means of overcoming planning controls with projects often reverting to solely residential use.</p>
<h2><strong>Planning</strong></h2>
<p>The main barriers to the live/work product expanding beyond London were founded by these scepticisms. Over time the concept was abused by some as a ruse to get around employment land restrictions whilst not providing actual workspace. Enforcement issues and an inconsistent approach from the Planning Inspectorate on determining appeals led to the concept slowly failing.</p>
<p>In part the confusion surrounded the use class. Live/work is not an easy category to define precisely and is more of a conceptual idea than a precise planning law term and as such is often referred to as sui generis. Conditions have been applied which have sought to secure a continuing ratio between workspace and living space, prevent sub-division and restrict residential occupation to those employed in the linked workspace.</p>
<p>The concept itself complies with a number of the key objectives within the National Planning Policy Framework (&lsquo;NPPF&rsquo;) &ndash; delivering required homes, whilst helping to build a strong competitive economy and making effective use of land. NPPF paragraph 81(d) states when producing planning policies, these should &ldquo;be flexible enough to accommodate needs not anticipated in the plan, allow for new and flexible working practices (such as live-work accommodation), and to enable a rapid response to changes in economic circumstances.&rdquo;</p>
<p>Research suggests that whilst the NPPF appears to encourage flexible accommodation such as live/work, very few schemes have actually been permitted, with those that have consisting of very low-density numbers, often in rural locations.</p>
<p>However, given the COVID-19 pandemic, there is certainly appetite for much more home working.</p>
<h2><strong>JLL Living Priorities Survey</strong></h2>
<p>JLL&rsquo;s recent <a href="https://residential.jll.co.uk/insights/research/has-covid-19-altered-our-housing-needs">Living Priorities Survey</a> revealed a dramatic shift in our staff&rsquo;s appetite to work from home more in the future. If we are to assume that the wider population shares the same view, it is likely that homes including working areas are now of increased importance which could signal more demand in the market for live/work units.</p>
<h2><strong>Mission Lofts, USA</strong></h2>
<p>Mission Lofts is a newly opened live/work development near Washington DC which has taken mixed-use design to a new dimension and presents a case study for how live/work units could work successfully.</p>
<p>Unlike most other live/work developments, Mission Lofts allows each of the units to be occupied at all time at the tenants&rsquo; choice as either a place to live, a place to work, or a place to do both. Amenities are included, accessible to both residential and commercial renters.</p>
<p>One of the key issues surrounding the success of live/work units in the UK in the past came down to obtaining a mortgage and whether it should be on commercial or residential lending terms.&nbsp;</p>
<p>Mission Lofts&rsquo; success indicates that live/work units may evolve more easily from the purpose-built rental models such as co-living or build to rent. </p>
<p>For the live/work model to exist within the English planning system, it may be that a balance is required between the likes of the Mission Lofts model and the evolving co-living and BTR models that are becoming ever more prominent.</p>
<p>A development which provides flexible work space on a communal floor would give the Local Authority and residents surety as to the product which is getting delivered and as such reduce the potential enforcement headaches for the developers/residents down the line.</p>
<p>In order to monetise the model, there may be potential to lease the flexible workspace to a dedicated workspace provider to generate a secondary income. There may also be potential to allow for a designated restaurant or caf&eacute; operator to be included within the floorspace, providing lunch options to those working. This again may allow for some rental income to be generated.</p>
<p>Ultimately there may be some obstacles that remain for the growth of live/work units in the UK, but with an increasing number of us working from home, working areas are likely to become a more common feature of homes generally. And perhaps this is the kickstart that the live/work model has been waiting for.<br />
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<p style="text-align:center;">Aiden Murray<br />
Senior Planning Consultant - Planning, Development &amp; Heritage<br />
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<p style="text-align:center;">Stefanie Mizen<br />
Associate - Planning, Development &amp; Heritage</p>
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Could Covid-19 trigger a growth in live/work units?

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Since the Covid-19 pandemic there has been a forced shift to homeworking. Is this the time to revisit the live/work model in the UK?

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<p>The latest set of A-level results are expected to trigger an active period for the UK student accommodation sector as students race to secure tenancies for the upcoming academic year. The sharp increase in applications between January and June has led to a 2% increase in UK applicants this year, while participation rates are at their highest level on record amongst UK 18-year olds. This goes against the underlying demographic decrease amongst this age group in recent years and defies predictions of the impact of COVID-19. </p>
<p>As of 30<sup>th</sup> June 2020, UCAS data showed that over two thirds of applicants had still not confirmed their final offers, a 10% increase in unconfirmed places compared to 2019/20. However, the first clearing data shows that UK acceptances are up by 2.9%, while non-EU acceptances are up by 2.0%. Although EU acceptances have fallen by 15.2%, overall acceptances on A-level results day are up by 1.9% year on year. </p>
<p>With universities subject to a temporary 5% cap on how many students they can take for the 2020/21 academic year, many students will now be facing strong competition given that 78% of students achieving grades A*- C (up from 75.5% in 2019). The recent GDP and employment data and the disruption caused by several months of national lockdown means that deferrals are not expected to increase. This will give many universities the opportunity to fill their places with high quality students.</p>
<p>Furthermore, the government has announced that any student appealing their decision will be exempt from the cap on places which may help to underpin demand. Although 40% of students received grades different from their teacher&rsquo;s predictions, 97% of all students are within one grade. The introduction of the triple lock and universities taking a more relaxed approach to selection is also welcome. So far, the government will not reissue downgraded students the grades predicted by their teachers, as was the case in Scotland, however public response over the forthcoming weeks may lead to additional updates from central government. </p>
<p>As before, much still rests on how many international students turn up for the start of term. There have been tentative signs that demand from this group has held firm, despite some initial concerns about the impact of COVID-19. UCAS figures from the 30<sup>th</sup> June deadline showed international applications up by 5% when compared to the same time in 2019/20. </p>
<p>Overall, leasing activity for purpose-built student accommodation remains strong. To date, over 70% of private PBSA beds have already been let for the new academic year, according to JLL&rsquo;s Student Housing Leasing Survey of over 145,000 beds, equivalent to 45% of the private market. Total bookings are ahead of where they were 12 months ago, largely as a result of existing students rebooking, and demand from new students is also up. </p>
<p>Following the disruption to the sector in March and April, the flurry of leasing activity expected in the coming weeks, as students settle on their courses and look to secure accommodation ahead of the new academic year, is expected to be positive for the sector. The results today further suggest demand will remain in the short to medium term, providing some much-needed relief to investors. </p>
<p>Philip Hillman, Chairman, Living Capital Markets, comments:</p>
<p>&ldquo;There is still uncertainty around how things will look once the new academic year gets underway in September, but after a significant period of disruption there are some encouraging signs. &nbsp;The longer-term outlook for student housing remains strong and it will continue to be driven by the same underlying counter cyclical factors that has attracted so much investment in recent years.&rdquo;</p>
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<p style="text-align: center;">James Kingdom<br />
Associate - UK Living Capital Markets Research</p>

UK student housing update following A-level results day

An update on the demand outlook for the UK student housing sector following the release of this year’s A-level result. 

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An update on the demand outlook for the UK student housing sector following the release of this year&rsquo;s A-level result for students in England and Wales. The new academic year presents a chance for the student housing sector to resume following the disruption caused by the pandemic in March.

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<p>We undertook a survey of JLL employees across Europe to assess whether the extended period spent at home due to Covid-19 has altered the way we feel about our homes.&nbsp;In this first of two blogs, we look at the major shifts in perceptions and preferences. The second will unpick changing work from home expectations and how these translate into housing demands.</p><p style="text-align:left;">National lockdowns have been a common government response to concerns over the spread of Covid-19, though their stringency has varied across Europe. Our survey sample includes nearly 2,000 respondents from 15 different countries who all have different experiences of lockdown, but one thing is for sure, their time at home has increased. According to Google&rsquo;s Mobility Trends reports, time spent in residential settings within our sample countries was, at its peak, anywhere from 29% to 46% higher than the baseline level.&nbsp;<br /><br /><img src="https://dev-cms-resi.eu.jll.com/images/default-source/default-album/graph-1---residential-mobility.png?sfvrsn=a4fc845_0" title="Graph 1 - residential mobility" data-displaymode="Original" alt="Graph 1 - residential mobility" /></p><p>In this first blog, we look at how more time spent at home has shaped peoples&rsquo; opinions of their living arrangements and whether they are now more likely to consider moving as a result.</p><h2><strong>Moving homes</strong></h2><p>The amount of time people are spending at home has encouraged households to think about their living arrangements. One solution to this situation, obviously dependent on financial capacity, is to move home.</p><p>&nbsp;</p><p>Only 3 in 10 respondents were looking to move home before Covid-19, with a relatively higher rate for renters (38%) and people aged 35-44 (33%). Split by geography, those in the UK &amp; Ireland were actually less likely to be looking to move (22%) whereas German respondents were the most active prospective movers (33%).<br /><br /><img src="https://dev-cms-resi.eu.jll.com/images/default-source/default-album/graph-2---moving-homece68f05784544e27a63d37293a459e5c.png?sfvrsn=3f0e3cf2_0" style="vertical-align:middle;" title="Graph 2 - moving home" data-displaymode="Original" alt="Graph 2 - moving home" /></p><p>Experiences under Covid-19 lockdowns have changed the landscape. 46% of respondents are now looking to move, though the picture is more muddied at the individual level. One third of those who had been looking are now no longer, perhaps put off by economic uncertainty. Nearly 4 in 10 (37%) of those who had not been looking are now open to moving. </p><img src="https://dev-cms-resi.eu.jll.com/images/default-source/default-album/graph-3--location-pref.png?sfvrsn=75918772_0" style="vertical-align:middle;" title="graph 3 -location pref" data-displaymode="Original" alt="graph 3 -location pref" /><p>Experiences, and expectations for their work-life balance moving forward, have led people to reconsider where they live. Of those now looking to move, only just over half (55%) are looking to change to a similar location, with 38% looking to move further away from the city centre. Unsurprisingly, the desire for more space and the declining importance of an easy commute (based on an expectation for more home working), means that individuals can prioritise the qualities of the home itself, more than just the location in relation to their workplace. In global cities<a href="file:///C:/Users/Himanshi.Luthra/Desktop/2020/August/20200730_Livingprioritiesblog1/TASK%20FOLDERS%20(1)/Insights%20Brief%20-%20Housing%20needs%20and%20resident%20preferences%20across%20Europe%20during%20Covid-19.docx#_ftn1" name="_ftnref1"><sup>[1]</sup></a>, this proportion increased to 41% and rises again to 45% for the Alpha+ global cities of London and Paris. These larger cities tend to offer better suburban and commuter transport links, indicating that people are not looking for wholesale lifestyle changes, but a slight shift in the kinds of neighbourhoods in which they would like to live.</p><p><span style="font-size:10px;"><sup>[1]</sup> As defined by GaWC. Alpha++ (London); Alpha+ (Paris); Alpha (Frankfurt, Madrid, Milan, Brussels, Warsaw); Alpha- (Amsterdam, Dublin, Luxembourg, Munich, Prague, Rome, Barcelona, Lisbon)</span></p><div><div id="ftn1"></div></div><h2><strong>Changing home priorities</strong></h2><p>While all those wanting to move may not be able to, our survey does appear to indicate that what we consider to be important in our homes may be changing in light of this shock to our day-to-day lives. Respondents ranked the importance of 14 metrics pre and post Covid-19. The biggest shifts in priorities ranked extremely important were having a personal outdoor space, fast broadband speed and a private workspace.<br /><br /><img src="https://dev-cms-resi.eu.jll.com/images/default-source/default-album/graph-4---home-location.png?sfvrsn=5dda12c7_0" style="vertical-align:middle;" title="Graph 4 - home location" data-displaymode="Original" alt="Graph 4 - home location" /></p><p>People&rsquo;s now intimate relationship with their homes means many are looking to modify and reimagine their living spaces. Overall, 43% of people would like to adjust, with a strong correlation with age: younger people are most likely (50% aged 18-34) compared to older cohorts (23%; 55+). With renters also more likely to want to modify, it points to the conclusion that older home owners have more space and better work from home environments, which is perhaps unsurprising given they already, on average, spend more time working at home.</p><p>Top priorities do, however, vary slightly by country. All regions put <strong>outdoor space</strong>, which could be as little as a balcony or small terrace, and <strong>natural light</strong> among the top 5 most important factors. <strong>Air quality</strong> and <strong>broadband speed</strong> are also seen as important across most regions. Lower down the list of priorities, there is some regional variation: those in Southern Europe, where temperatures are warmer, favour <strong>thermal comfort</strong>, whereas those in the UK &amp; Ireland, Poland and Benelux want to be close to <strong>public outdoor space</strong>.<br /><br /><img src="https://dev-cms-resi.eu.jll.com/images/default-source/default-album/graph-5---priorities.png?sfvrsn=69192194_0" style="vertical-align:middle;" title="Graph 5  - priorities" data-displaymode="Original" alt="Graph 5  - priorities" /></p><h2><strong style="font-size:18px;">Longer-term implications</strong></h2><p>After weeks and months of housing markets being frozen, this pent-up desire to move is starting to translate into more enquiries, though the economic challenges are putting the brakes on a massive uptick in transactional activity, at least for now. </p><p>Anecdotal evidence from real estate agencies is suggesting that some of these home preference trends have already been borne out in both sales and rental market activity across different European markets. How much these strong preferences translate into concrete and long-term demand shifts is still yet to be determined, but one thing is for sure &ndash; the pandemic has heightened an appreciation for good quality homes which meet owner or tenant expectations, which is unlikely to recede. <br /></p>

Housing needs and resident preferences across Europe during Covid-19

In the first of two blogs based on our JLL employee survey, we investigate how European experiences of lockdown have altered people&rsquo;s housing needs, their desire to move, and perceptions of the home&rsquo;s most important characteristics.

We undertook a survey of JLL employees across Europe to assess whether the extended period spent at home due to Covid-19 has altered the way we feel about our homes.

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<p>New JLL analysis of approximately 900,000 privately rented units across the UK and U.S. reveals rent collection in excess of 94.0 percent in both markets, with occupancy also remaining firm since the onset of the COVID-19 pandemic. Both fundamentals illustrate
    resident prioritization of rent payments and continued tenancy despite mounting hardships. </p><p>Offering income stability and capital-value resiliency through economic downturns, the multifamily sector is commonly regarded as a defensive asset class. Driven by a persistent need for housing and flexible lease terms, contractions tend to be shorter
    while periods of growth are prolonged. For these reasons, 84.0 percent of investors targeted the sector pre-COVID-19, according to our <a href="https://www.jll.co.uk/en/trends-and-insights/research/jll-european-living-investor-survey-what-the-investor-appetite-in-2020">European Investor Survey</a>.
</p><p>The economic impact of the COVID-19 pandemic led to immediate consideration for tenants and their ability to pay rent. Encouragingly, multifamily operators have generally chosen to engage with their tenants and to allay concerns and fears during these
    unprecedented times. These actions have highlighted the service-based approach that many multifamily operators provide, in contrast to private landlords across both markets.&nbsp;<br /></p><h2><b>JLL UK And U.S. Rent Collection and Occupancy Portal</b></h2><p>In an effort to guide and inform owners and operators on the current state of the market, JLL Research on both sides of the Atlantic have partnered with nearly 50 firms, accounting for more than 900,000 units, to actively monitor rent collection and occupancy
    rates. The resounding participation by institutional groups in our rent collection effort underscores commitment to performance and investment in the asset class.</p><h2><b>Key factors impacting multifamily performance</b></h2><p>Government intervention has provided near-term stability to the broader economy, aiming to mitigate deeper negative impacts during the recovery period. Select stimulus packages and policies have supported renter finances and associated multifamily operator
    performance:&nbsp; </p><ul><li><b>United States</b>: the CARES Act bolstered unemployment benefits by $600 per week, often lifting incomes higher than historic earnings (due to expire at the end of July). Municipalities have broadly enacted temporary eviction moratoriums and rent
        freezes.
        <br /></li><li><b>United Kingdom</b>: The Coronavirus Job Retention Scheme, puts employees on leave but allows them to stay on their company's payroll. The policy outlines that the UK Government pays 80.0 percent of furloughed employees&rsquo; salaries up to a
        maximum of &pound;2,500 a month.In addition to government programs, property owners and managers are proactively working with tenants experiencing hardships, offering to defer rents or allow early move-outs without lease-break fees.<br /></li></ul><h2><br /><b>Multifamily performance amid widespread economic closure</b></h2><p>Despite historic job losses and economic uncertainty, rent collections have remained strong during the first three full months of COVID-19 disruptions. UK operators captured 96.3 percent of rents, while the U.S. collected 93.9 percent of rents in June.
</p><ul><li>In the<b> United States</b>, analysis demonstrates that premium product outperforms mid-range and affordable product. Such outperformance is largely attributed to a tenant base comprised of higher-income earners employed in industries experiencing
        more muted economic impacts. Additionally, affordable markets &ndash; commonly in the Southern U.S. &ndash; collect nearly 3.0 percent more, on average, than expensive gateways. Underperforming markets continue to be concentrated in entertainment
        hubs and high-cost gateways, while secondary and tech-centric markets lead rent collections.<br /></li><li>Interestingly, the story in the <b>United Kingdom</b> differs from the U.S., with the mid-range market segment posting higher collections to date. Limited variation has occurred from market-to-market, speaking to the overall stability of institutional
        assets nationwide. The most marked shift over the past month has come at the more affordable segment of the UK market, with rent collection increasing by 430bp at the end of June.<br /><br /></li></ul><p><img src="https://dev-cms-resi.eu.jll.com/images/default-source/articles/icons/overall-rent-collection-by-country-updated-graph-(1).png?sfvrsn=42be32c9_1" sf-custom-thumbnail="true" width="752" sf-constrain-proportions="true" sf-size="100" /></p><p>Source:&nbsp;<i>JLL</i></p><p>Shifting occupancy rates also have a significant impact on investor operating incomes. Occupancy rates in both the UK and the U.S. have begun to deteriorate as financially distressed residents opt to move back in with family, or double-up in a shared
    apartment. &nbsp;</p><ul><li><b>United Kingdom</b>: a 100 bp fall in occupancy rates from March to April was common across operators. The tenant base of UK multifamily assets has a strong weighting towards university students and young professionals who may have alternative housing
        options such as living with family. While there was another drop from April to May, there has been a strong recovery in overall occupancy numbers, with an increase of 30 basis points totalling 95.9 percent for June. This recovery has provided
        landlords some assurance that tenants who remain in their portfolio, at least for the time being, have job and financial security and are able to meet their rent payments.<br /></li><li><b>United States</b>: since early April, occupancy rates have declined 244 bps for premium, 77 bps for mid-range and 38 bps for affordable product. The drop in premium asset occupancy occurs as residents increasingly seek more affordable, spacious
        options in suburban submarkets. Additionally, properties recently completed are experiencing longer lease-up periods and widening concession packages. Concurrently, concession packages are more pronounced in urban submarkets than their suburban
        counterparts offering 1.3 percent more on average.&nbsp;</li></ul><div style="margin:15px;"><h2><b>How does this compare with other sectors?</b></h2></div><p><img src="https://dev-cms-resi.eu.jll.com/images/default-source/articles/icons/overall-rent-collection-by-sector-updated-graph.png?sfvrsn=c02eda74_1" sf-size="100" /></p><div style="margin:15px;"><p>Source:&nbsp;<i>JLL</i><i></i></p><p>* based on analysis of EMEA listed sector reporting at the end of Q1. </p><p>** U.S. NAREIT as of May collections</p></div><div>JLL research highlights the resilience and outperformance that multifamily has demonstrated in both the U.S. and UK, to date. Industrial and office have increasingly performed well over the past couple months, as the U.S. economy begins to open up
        once again. Furthermore, as highlighted in the previous graph, rent collection for multifamily in both markets has exceeded expectations and stayed at a consistently high rate throughout the pandemic.<br /><br /></div><h2><b>How will the sector perform in the coming months?</b></h2><p>The strong performance to date has been encouraging for both markets. However, as the financial stimulus packages in the UK and the U.S. begin to taper, there are clear concerns regarding the impact to performance for the remainder of the year. </p><p>Recent developments to the Furlough policy in the UK will mandate employers to pay a greater share of workers&rsquo; salaries. This tapering process will begin from 1<sup>st</sup> August, as employers will be required to pay National Insurance and
        pension contributions for their staff. In September, employers will then pay 10.0 percent of employees' salaries - rising to 20.0 percent in October. Meanwhile, in the United States, the extra $600 per week employment benefit is set to expire
        in late July, reducing incomes and likely hurting low-income earners in a pronounced fashion.</p><h2><b>Hobson&rsquo;s Choice: rent or occupancy?</b></h2><p>Despite this strong performance in H1 2020, it seems certain that investors and operators will face pressure on both rental rates and occupancy.</p><p>Entering the height of the leasing season, operators are unable to push rental rates and are often offering rent-free concession packages of two to eight weeks in the U.S. Additionally, an uptick in month-to-month lease agreements has maintained cash
        flow in the short-term, but leads to near-term uncertainty for operators. Similarly, In the UK, the third quarter is peak leasing season with 40.0 percent of existing tenancies due for renewal in these months. However, some doubts persist on whether
        students will return to universities and in what capacity &ndash; potentially further dampening PRS demand. As UK-based investors and operators will focus on maintaining high levels of occupancy rather than driving rents in the short term, we
        believe that many tenants renewing leases or seeking new living opportunities will attempt to negotiate rents. As such, JLL has adjusted our <a href="https://residential.jll.co.uk/insights/research/jll-residential-market-forecasts-may-2020">rental forecasts</a> anticipating an average value decline of circa 2.0 percent across the UK in 2020. </p><p>The sector has performed well through the downturn so far and is expected to remain relatively resilient in the coming months. That said, performance of multifamily is dependent on the extent of economic fallout and recovery, particularly once support
        policies are withdrawn or tapered. JLL will continue to monitor and report on key metrics in the U.S., UK and other global markets. It is likely to be a rejuvenated interest from global investors to deploy capital in the sector as economies emerge
        from the crisis.&nbsp;</p><div style="margin:15px;"><img style="display:block;margin-left:auto;margin-right:auto;" src="https://dev-cms-resi.eu.jll.com/images/default-source/blog---graphs/philip-wedge.jpg?sfvrsn=f5ebaf3c_1" sf-size="100" /></div><div style="margin:15px;"><p style="text-align:center;">Philip Wedge-Bernal &ndash; Associate, EMEA Living Research and Strategy</p><img style="display:block;margin-left:auto;margin-right:auto;" sf-custom-thumbnail="true" width="488" src="https://dev-cms-resi.eu.jll.com/images/default-source/articles/icons/perez_danielle_b-w_488x180b98c1878b48c4dc3a1a91cccf1e616a7.jpg?sfvrsn=cfdc8a2_1" sf-constrain-proportions="true" sf-size="100" /></div><div style="margin:15px;"><p style="text-align:center;">Danielle Perez&nbsp; &ndash; Manager, Capital Markets Research
        </p></div>

JLL study shows multifamily rent collection and occupancy rates remain resilient on both sides of the Atlantic

New JLL analysis of approximately 900,000 privately rented units across the UK and U.S. reveals rent collection in excess of 94.0 percent in both markets.

Analysis on UK and US multifamily rent collection and occupancy rates

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<p>JLL analysis of full time individual salaries found only a little over 200,000 individuals could afford to buy an average priced London home even after applying the 30% First Homes discount. Outside of London, however, First Homes as they are currently proposed may prove more effective. </p>
<p>First Homes is a proposed new discount home ownership scheme which would allow key workers such as nurses, teachers and emergency services workers to purchase a home at a minimum discount of 30% to its open market value. </p>
<p>JLL calculated that aspiring purchasers wishing to use the First Homes scheme to buy a home at the current London average house price of &pound;479,000 would need a salary of &pound;71,000 pa even after the 30% market discount. This calculation includes the aspiring buyer&rsquo;s 5% deposit and is based on a mortgage being secured at the UK lending borrowing cap of 4.5 times annual salary.&nbsp; </p>
<p>The Annual Survey of Hours and Earnings (ASHE) shows data on 2 million salaries in full time employment in London. It reveals that only the top 10% of that pool of full-time employees in the Capital or circa 200,000 individuals earn in excess of &pound;71,000 pa. </p>
<p>In contrast, around 14% of London&rsquo;s full-time employees could afford to buy an average priced London home if they used Help to Buy, theoretically pricing in an additional 85,000 potential individual buyers.</p>
<p>However, outside London it is a different story. Around 40% of UK full time employees could afford to buy the current average priced UK home of &pound;233,000 using First Homes compared with 30% using Help to Buy. </p>
<p>It is likely that the Government eyes First Homes as the successor to Help to Buy which is scheduled to be withdrawn from April 2023. As it is currently proposed, First Homes do not offer an improvement on Help to Buy in London. Despite being set out as a scheme to help key workers, among others, get on the housing ladder, &pound;71,000 pa is a prohibitively high barrier to entry for most. Key workers are highly unlikely to constitute a significant part of the 10% of the working population earning sufficiently high salaries.</p>
<p>One significant positive of First Homes as a Government backed discount home ownership product is that the discount remains in perpetuity. This means it will remain an affordable home ownership product for generations to come. In contrast, Help to Buy subsidises individual buyers with no future buyers benefiting from the Government equity loan. </p>
<p>It is possible that the Government may conclude that greater discounts need to be applied in some parts of country compared with others &ndash; just as with Help to Buy where loans can be larger in London. Ultimately this may become necessary for First Homes to prove successful in the Capital, given that the median salary to house price ratio is almost twice as high as the rest of the UK (13 versus 8).</p>
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<p>&nbsp;</p>
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<p style="text-align:center;"><a href="mailto:Veronica.SMcGill@eu.jll.com" target="_blank"><button class="Button primary">Contact</button></a></p>
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<div style="margin:15px;">
<p style="text-align:center;">Veronica Spanos McGill<br />
Research Analyst</p>
</div>

First Homes vs Help to Buy: which prices in more people?

Only around 10% of full time workers in London can theoretically afford to buy one of the Government&rsquo;s proposed new First Homes, new JLL research shows.<em>&nbsp;</em>

Only around 10% of full time workers in London can theoretically afford to buy one of the Government’s proposed new First Homes, new JLL research shows. 

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<p style="text-align:left;"><b>Stamp duty holiday</b></p><p>Government policy support is of absolute importance in limiting the economic impact of Covid-19 on the housing market in the UK. The stamp duty holiday until 31st March 2021 for homes up to &pound;500,000 could prove to be a key incentive to kickstart
    the housing market and make up for lost sales. There is a lot of pent up demand for new homes in the UK &ndash; our research shows more people are now looking to move home in the next two years. This stimulus could trigger a stronger than anticipated
    bounce in demand by allowing aspiring purchasers to use their stamp duty saving towards a higher deposit.</p><p>The Government has a recent track record of making stamp duty changes to help those on the earlier stages of the housing ladder such as first time buyers. Looking forward we would also encourage the Government to consider stamp duty incentives for older
    people to downsize or right size their homes. There is strong evidence to show that those over the age of 65 simply do not move until such a time as it becomes a necessity, such as needing care. However, over the next 10 years around 25% of the UK
    population will be over the age of 65. Encouraging these people to move into age appropriate homes would free up much needed housing at the other end of the housing ladder.</p><p><b>The green recovery</b></p>Assisting households with making energy-efficient home improvements will lead to lower energy bills, create job opportunities all over the country and is an important initiative to help deliver a low carbon future for the
UK.&nbsp; But the Government still needs to lay out the full roadmap to decarbonise all homes across the UK, and it must take responsibility to educate the public that living in a low carbon home is both inherently desirable and an absolute necessity
to meet our climate change goals.
<p><i></i><i></i></p><p style="text-align:left;"><a href="https://residential.jll.co.uk/search?tenureType=sale&amp;flags=help-to-buy%7Cshared-ownership&amp;sortBy=price&amp;sortDirection=desc"></a><br /></p><p><img style="display:block;margin-left:auto;margin-right:auto;" src="https://dev-cms-resi.eu.jll.com/images/default-source/articles/nick-whittenff5b6a2f02024effbe2728cd4bd0c4c8.jpg?sfvrsn=aea2d7eb_1" sf-size="100" /></p><p style="text-align:center;">Nick Whitten - Head of UK Living Research</p>

Stamp duty tax holiday should trigger stronger than anticipated bounce in house demand

Impact of the Covid-19 pandemic on UK economic growth and business activity is undeniable, but the stimulus measures announced today will be key to boosting the housing market through the current downturn.

<p>Impact of the Covid-19 pandemic on UK economic growth and business activity is undeniable, but the stimulus measures announced today will be key to boosting the housing market through the current downturn.<b></b><br /></p>

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<p>After 100 days of lockdown due to Covid-19, the first steps towards the process of recovery are now being taken.</p>
<p>While the social and economic impact of the pandemic has been severe, the reduction in social distancing measures and relaxation of other guidelines are a welcome return to some degree of normality.</p>
<p>In the face of widespread disruption and many challenges, the Living sectors have performed well in recent months. With uncertainty clearing, we anticipate a strong increase in activity and demand across these markets over the rest of the year.</p>
<p>Download the bulletin below to find out more, or get in touch with one of our team&nbsp;</p>
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Q2 UK Living Capital Markets Bulletin

Our UK Living Capital Markets Bulletin provides an update on the Living sectors (exploring the student housing, coliving, multifamily and later living markets), reflecting on the impact of Covid-19 so far and looking forward to the rest of the year.

<p>Our UK Living Capital Markets Bulletin provides an update on the Living sectors (exploring the student housing, coliving, multifamily and later living markets), reflecting on the impact of Covid-19 so far and looking forward to the rest of the year.</p>

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<p style="text-align:left;">Chris Ireland, UK CEO at JLL, has added his signature to a letter that has been sent by the National Housing Federation to the chancellor urging him to put good quality, affordable housing at the centre of plans for social and economic recovery from the coronavirus crisis.</p><p>Homes at the Heart is a national campaign and coalition calling for a once-in-a-generation investment in social housing.</p><p><i>Dear Chancellor,</i></p><p><i>Put homes at the heart of recovery.</i><br /></p><p><i>We are writing to urge you to put good quality, affordable housing at the heart of your plans for social and economic recovery from the coronavirus crisis.</i></p><p><i>This pandemic has transformed our relationship with our homes. For some, home has been a sanctuary from a dangerous and unpredictable virus. Home has become their office, a classroom, a gym or a place of worship. But for countless others, the place they have spent lockdown has felt like a prison &ndash; housing that is far too small, too expensive, of poor quality or isolated from the support that would help them to live well.</i></p><p><i>The coronavirus crisis is further highlighting the need for secure, high quality, better designed affordable homes and, for many people, support to live in them. Not least for many of the people most affected by this crisis &ndash; low-paid key workers living in homes they can&rsquo;t afford, rough sleepers helped off the streets, homeless families in temporary accommodation, older people in unsupported homes, and families stuck in overcrowded conditions.</i></p><p><i>Without action, we are likely to see many people&rsquo;s housing situations get much worse in the weeks, months and years ahead, as the economic impacts of the crisis are felt across the country.</i></p><p><i>In times of crisis, the worth of social housing is ever more visible and to so many of the challenges that lie ahead, social housing is the answer. The social housing sector stands ready to play a major role in shoring up the future of the country.</i></p><p><i>Public investment in all types of new and existing social housing gives more back to the economy than it takes.</i></p><p><i>Building and improving social homes, including delivering on the decarbonisation agenda, creates jobs, kick-starts growth and brings huge environmental benefits.</i></p><p><i>Investing in supporting people to live well in their social homes improves health and wellbeing, and drives cost savings for the NHS.</i></p><p><i>Social housing is at the centre of thriving communities.</i></p><p><i>That is why we support the Homes at the Heart campaign.</i></p><p><i>As you develop and deliver plans to get the country back on track, we are calling on the government to put social homes at the heart of recovery &ndash; as a driver of economic and social prosperity, and an anchor for strong communities.</i></p><p><i>More information on the Homes at the Heart campaign is available </i><i><a href="https://nam02.safelinks.protection.outlook.com/?url=https%3A%2F%2Fwww.housing.org.uk%2Four-work%2Fcoronavirus%2Fhomes-at-the-heart%2F&amp;data=02%7C01%7CNikhil.Vaishnavi%40ap.jll.com%7Ccc03a47154354b9f458d08d818f2789e%7Cbfef2b06d2564f8ebd038d3687987063%7C0%7C0%7C637286776968061120&amp;sdata=5SsZAjRL%2F1gFyg8lY%2BJtIbuAkOdEZy28kdsyNYAOPlY%3D&amp;reserved=0">here</a>&nbsp;</i><i></i></p><p style="text-align:left;"><a href="https://residential.jll.co.uk/search?tenureType=sale&amp;flags=help-to-buy%7Cshared-ownership&amp;sortBy=price&amp;sortDirection=desc"></a><br /></p>

JLL urges quality and affordable housing to form part of social and economic recovery from Covid19

JLL supports National Housing Federation&rsquo;s Homes at the Heart Campaign.

JLL supports National Housing Federation’s Homes at the Heart Campaign

<p><i></i>JLL supports National Housing Federation&rsquo;s Homes at the Heart Campaign<i></i></p>

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<div></div><div><h2>COVID-19</h2></div><div><p>While Living sub-sectors are driven by many of the same demand characteristics, there are obvious nuances that ensure that the impacts from Covid-19 are likely to be felt differently across the Living spectrum. JLL will continue to monitor the chronology
        of the crisis and use our global reach to identify market insights from the Covid-19 battlegrounds all over the world.</p></div><p>Download our EMEA Living Capital Markets Quarterly Bulletin below.
</p><p>&nbsp;</p><button id="btn-1" class="Button primary">Download Report</button>

Q2 EMEA Living Capital Markets Update

<p>Our Living Capital Markets Bulletin provides an update on the Living sectors (Student Housing, Multifamily, Healthcare and Coliving), as well as highlighting the potential implications of the situation going forward.&nbsp;</p>

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