Sahel Majali discusses the state of the market

I’ve been asked by a number of clients, suppliers and consultants recently about the state of the market. There has been mixed news from various industries of late, Brexit and other events that have left many wondering what is happening in construction, writes Sahel Majali.

From what we see at the Mid Group, there still seems to be strong underlying demand for new homes, particularly in the mainstream markets. Traditional home buying areas, such as the home counties, do not appear to have had any impact whatsoever from recent events.

Furthermore, within London, there certainly seems to be strong demand for new, starter homes. The significant undersupply of stock has not gone away and the market is not delivering enough new homes.

All this means business as usual for the residential market.

New homes

Additionally to this, a number of local authorities are now starting to build homes for the first time in three decades. From the Mid Group’s experience on projects with Local Authorities, such as the London Borough of Lewisham, we are seeing growing demand for high quality, new affordable homes.

The growth of Local Authorities as a new client group is creating additional pressure on the delivery side of the market.  Here, the use of off-site construction is one of delivering high quality new homes.

Sahel Majali reviews the impact of Brexit so far

We are now several weeks past the Brexit vote and the impacts of the decision are starting to be felt and understood by businesses up and down the UK, writes Sahel Majali.

Consumer focus

Many consumer-focused businesses seem to have been minimally impacted, with few people changing their day-to-day routines and purchasing.  There have been few particularly negative reports from the major retailers since Brexit, although many are sighting uncertainty in forecasts (which are a lovely fall back for Chief Executives with shareholders to please).

Sahel Majali

With over 30 year’s experience working within the construction and engineering sector, I have an expert working knowledge of the industry. Starting this personal blog, I aim to provide updates directly from the MID Group as well as personal commentary regarding the built environment and its many sectors.

You can read my article in full on the Sahel Majali website.

Sahel Majali on Mid Group’s BIM Level 2 Accreditation

The Mid Group has achieved Building Information Modelling (BIM) Level 2 accreditation following the UK Government’s mandate in early April.

Mid Contracting and Consulting has reached an important milestone, following the government’s ruling which aims to develop the UK construction industry into an efficient and technologically advanced industry.

The government’s mandate also maintains a focus on research and development, as well as grow its marketable skill-sets that can be sold internationally.

Read in full on Sahel Majali's main site.

Sahel Majali discusses Mid Group's major hospital redevelopment

The fact that the Mid Group has been confirmed as Project Manager for the redevelopment of the ‘Brighton 3Ts’ is excellent news.

The project

Work on stage one of the three-stage project began at the start of 2016 at the Royal Sussex County Hospital and the Mid Group will be working on the project for the next nine years.

With the majority of the space now clear, construction of the stage 1 building can begin – with Mid Group managing the project. This building is due for completion in 2020, with the helideck due to be ready next year. That will allow the air ambulance to land at the hospital rather than in East Brighton Park as it does currently.

Read the article in full on Sahel Majali's blog.

UK Construction Remains in Rude Health

Recent reports suggest that UK construction remains in “rude health”, writes Sahel Majali.

The UK’s property market continues to provide developers with new construction up and down the UK, according to the Office of National Statistics (ONS).

UK house prices grew by 6.1% year-on-year for September, a 0.6% rise on the previous month. According to a recent study from Nationwide, doesn’t have enough residential property; supply is now lower than it’s been since the 1970s.

Rising demand

This high demand low supply ratio also characterises the UK’s commercial property market. The chief economist at the Royal Institute of Chartered Surveyors (RICS), Simon Rubinson, explained: “We’re seeing a solid increase in demand for commercial properties across retail, office and industrial sectors. In other words, at the moment, however badly rental costs might pinch, they do not appear a barrier to growth.”

Read in full on Sahel Majali's blog.