Crest Nicholson Holdings Plc · LSE:CRST
Crest Nicholson — Corporate Update (September 2013)
44 slides from Crest Nicholson's corporate update, Sep 19, 2013
Slide 1: Crest Nicholson Site Visits 19th September 2013
Crest Nicholson Site Visits 19th September 2013 1
Slide 2: Summary of site visits
Summary of site visits • Crest – an established, 50-year pedigree • Strongly positioned in current markets • Continuing to differentiate & unlock future value: • Bolnore Village • Kilnwood Vale • Longcross 2
Slide 3: Distinctive proposition
Distinctive proposition • Crest’s delivery of design-led, well conceived master plans has built our reputation 3
Slide 4: Areas of competitive advantage
Areas of competitive advantage • Delivery of schemes of this scale and nature requires: • Strong strategic and master-planning skills • A focus on place-making and legacy management • Good design and sustainability credentials • Ability to work alongside public and private partners over time • A ble
Slide 5: Differentiated offer underpins Strategic approach
Differentiated offer underpins Strategic approach • Divisions based around large, flagship schemes which can bear the costs of differentiation • Supplemented with smaller outlets for sales width • Land bank sourced from: • Strategic – c.40% • Public sector – c.20% • Private ‘partners’ – c.15% • Othe
Slide 6: Strongly positioned
Strongly positioned • Southern focus • Long land bank, with 40+ backbone sites • Ability to drive volumes & sweat assets • Distinctive approach to planning and partnership yielding results 6
Slide 7: Site additions
Site additions 8 6 SITES PURCHASED THIS YEAR: Plots 3 11 1 1. Sunbury 206 6 18 7 4 2. Beare Green 24 2 4 12 1 3. Woking 149 5 3 7 17 13 2 5 4. Isleworth 59 5. Kings Hill 40 8 6. Hereford 29 7. Cheddar 28 8. Southampton 329 9. Tooting 112 15 10 Melior St., Borough 43 STRATEGIC SITE ADDITIONS: 10 11 A
Slide 8: Maintaining Southern focus
Maintaining Southern focus 8
Slide 9: Long land banks
Long land banks 2,500 South East Consented site size by region (number of plots per site) South West 2,000 London Midlands 1,500 1,000 500 - Larger sites presenting Backbone sites; approximately half of the site multiple channels to market numbers, delivering three-quarters of the volume 9
Slide 10: Larger sites: Maximising opportunity
Larger sites: Maximising opportunity • Drives OM volumes and market penetration through Dual Out- letting complementary forms of housing • Ancillary and complementary Mixed uses Large site Tenure Mix and business opportunities and Build • Provides progressive community Optimisation to Rent • Creates
Slide 11: Today's site visits
Today’s site visits 1. Bolnore Village – a well-established major project of c.1300 dwellings, exhibiting the character and capabilities of Crest Nicholson 2. Kilnwood Vale – a new major project of c.2,300 units plus a District centre; secured under strategic option, consented in 2011 and opening th
Slide 12: Bolnore Village – A Mature Backbone Site
Bolnore Village – A Mature Backbone Site Acquisition Highlights: 76Ha site Secured under option: 1990 Outline planning granted: 1998 Land drawn down in three tranches Commenced in 2000 – Phased infrastructure – Limited land sales Delivered circa 80dw/annum Product differentiation Cur
Slide 13: Bolnore Village – A Mature Backbone Site
Bolnore Village – A Mature Backbone Site The design concept: Consented for 1,300 dwellings Traditional English country village: – Distinctive housing – Primary school – Village square and local centre – Recreation grounds – Woodland walks First Crest “Garden Village” Substantial re negotiati
Slide 14: Bolnore Village – Excellent Place Making
Bolnore Village – Excellent Place Making 14
Slide 15: Bolnore Village – Pre PPG3 Housing
Bolnore Village – Pre PPG3 Housing The early years product: Consented pre PPG3 – No prescriptive parking standards – No density minima – Played to Crest’s strengths Middle phases subject to PPG3 restrictions limiting differentiation Now under NPPF most prescription has gone – Ability to differ
Slide 16: Evolving Crest's Vision - Garden Village Principles
Evolving Crest’s Vision - Garden Village Principles: 16
Slide 17: Evolving Crest's Vision - Garden Village Principles
Evolving Crest’s Vision - Garden Village Principles: Why are Crest committed to developing garden cities and villages? They are in accordance with NPPF and current thinking on planning policy. To position ourselves as a developer of choice in the market for larger scale, Garden City style scheme
Slide 18: Mature Backbone Sites – Diverse Model and Setting Standards
Mature Backbone Sites – Diverse Model and Setting Standards Circa ten sites still driving volume Including: Kings Warren, Red Lodge Cedars Park, Stowmarket • 1,100 dwellings • 1,200 dwellings • 134 units Left • New Suffolk Village • £23m GDV • 177 units left • 600 unit extension to • Circa £23m GDV
Slide 19: Kilnwood Vale, Faygate – A New Significant Backbone Site
Kilnwood Vale, Faygate – A New Significant Backbone Site Acquisition Highlights: 132 Ha Single owner Sourced under option in 2002 Outline planning granted in Oct 2011 Land for first 1,416 dwellings and district centre acquired in discounted bulk deal for < £8k/plot. Balance of consented
Slide 20: Kilnwood Vale, Faygate – The design concept
Kilnwood Vale, Faygate The design concept: Consented for 2,300 dwellings New sustainable community: – Mixed tenure housing – Distinctive neighbourhoods – New rail link to London – Primary school – District Centre inc’ food retail – Sports grounds – Woodland walks – Great public realm 20
Slide 21: Kilnwood Vale, Faygate – Infrastructure delivery
Kilnwood Vale, Faygate Infrastructure delivery: Commenced Autumn 2012 £2.3m GBB funding for the access roundabout. Land sale to Bovis help fund rest of initial infrastructure. £9m Local Infrastructure Funding (LIF) loan for new Faygate station approved in principle by HCA. HCA loan funding
Slide 22: Kilnwood Vale, Faygate – Phase 1 Housing
Kilnwood Vale, Faygate Phase 1 Housing: Commenced Spring 2013 Mixed family housing Launching this weekend – Circa 3,000 enquiries First affordable units in production Future phases already in planning Opportunity for dual out letting Will support BTR and more contemporary quarter aroun
Slide 23: Kilnwood Vale District Centre – Initial Studies
Kilnwood Vale District Centre – Initial Studies 23
Slide 24: One of A New Generation of Contributing Backbone Sites
One of A New Generation of Contributing Backbone Sites Division Dual Anticipated Years of Unit Completions Outlet 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 Eastern Cheesman's Green √ Severalls Hospital, Colchester Smiths Farm, Dunmow Andrews Lane, Cheshunt South London Irish, Sunbury Keephat
Slide 25: Example1 - Oakgrove, Milton Keynes: Public Sector Partnership
Example1 - Oakgrove, Milton Keynes: Public Sector Partnership Partnership sourced on vision, design and sustainability principles through OJEU bid to the HCA New £175m village for MK • 950 dwellings • £18m District centre • Schools and community uses Land secured under 15 year development agre
Slide 26: Example2 - Daventry: Private Sector Partnership
Example2 - Daventry: Private Sector Partnership Development Agreement with Property Trust to design and deliver housing led mixed use development Revised outline planning permission and Section 106 Agreement secured in July 2012 for 1,000 unit development with estimated GDV of £175m and reduced
Slide 27: Example3 - Bath Riverside, Bath: Private Sector Acquisition
Example3 - Bath Riverside, Bath: Private Sector Acquisition £500m GDV development of 2,000 homes to create new Urban Quarter in Bath Land controlled for 1,152 dwellings 879 units left with GDV of circa 245m Selling at 7 reservations/month Land for further 700 units “controlled” 27
Slide 28: CQ: Public Sector Phased Priority Return Deal
EG.4 – CQ: Public Sector Phased Priority Return Deal Crest appointed as development partner by SEEDA in 2006 following OJEU tender. Now HCA. Outline planning secured for £250m landmark regeneration of 12.5 hectares of Southampton waterfront incorporating – 1,653 residential dwellings, including
Slide 29: Reinforcing 'Partner of Choice' Claim
Reinforcing “Partner of Choice” Claim Already demonstrated significant and strong on- going partnership record delivering vision, value and good design Great Gateway to more public and private sector land: • Re selected to HCA delivery partner panel in all three key operating area • Leading part
Slide 30: Q&A
Q&A 30
Slide 31: Disclaimer
Disclaimer You should note that the financial projections and other statements regarding Crest Nicholson's intentions, beliefs or current expectations referred to in this document are forward looking and do not relate solely to historical or current facts. These statements are provided on a confiden
Slide 32: Bolnore Village, Haywards Heath
A BUSINESS MODEL BASED ON DIFFERENTIATION: BOLNORE VILLAGE HAYWARDS HEATH A MATURE BACKBONE SITE Bolnore Village, Haywards Heath Bolnore Village is but one of Outline planning permission was initially Bolnore Village has since evolved into a high a series of mature developments granted at Bolnore Vi
Slide 33: Bolnore Village – Acquisition and Delivery Highlights
ACQUISITION DELIVERY Site size: 75.5ha (186.4 acres) Total GDV: circa £315m HIGHLIGHTS l In keeping with all Crest’s strategic projects the l Commenced in 2000, Bolnore Village has delivered initial option terms provided for phased acquisition Village Square an average of over 80 dwellings per annum
Slide 34: Other Mature Backbone Sites
OTHER MATURE BACKBONE SITES Over the last decade the Group has established itself as the leading designer and deliverer of sustainable residential and mixed use communities across the Southern half of England. Many of the associated developments, some of which are outlined below, are still in delive
Slide 35: Kilnwood Vale, Faygate
A BUSINESS MODEL BASED ON DIFFERENTIATION: KILNWOOD VALE FAYGATE AN EMERGING BACKBONE SITE Site boundary N Computer generated image depicts street scene Kilnwood Vale, situated between The site is one of a series of new significant quickly and effectively promoted through the Crawley and Horsham, pr
Slide 36: Kilnwood Vale – Acquisition and Delivery Highlights
Kilnwood Vale Design and Access Statement | July 2010 | 137 ACQUISITION DELIVERY Site size: 132ha (326 acres) Total GDV: circa £600m HIGHLIGHTS ● Commenced in 2012, the significant Infrastructure ● The site was first secured in 2002 under a series works to create the entrance gateway are nearing of
Slide 37: Other Emerging Backbone Sites
OTHER EMERGING BACKBONE SITES Over the last two years, building upon its established reputation for designing and delivering sustainable residential and mixed use communities, the Group has commenced delivery of its next generation of backbone sites. Again, all located within the Southern half of En
Slide 38: Longcross Village, Surrey
A BUSINESS MODEL BASED ON DIFFERENTIATION: LONGCROSS VILLAGE SURREY North Site – Residential Quarter A FUTURE BACKBONE SITE • Detailed application for first 105 homes imminent •Contemporary architecture, using traditional Surrey forms , and materials. • 80% family houses • 25% affordable housing, wi
Slide 39: Longcross – Acquisition, Planning and Vision
ACQUISITION Site size: 122ha (300 acres) Surrey Views Total GDV: circa £850m l T he Group entered into a 50/50 joint venture with 79,000sq m Aviva in 2003 and purchased the freehold of the office space Upgraded station Longcross Avenue site in 2005 on deferred terms with a two year Residential lease
Slide 40: The Backbone Sites of the Future
THE BACKBONE SITES OF THE FUTURE Longcross is but one of a series of significant sites which will shortly add to the backbone of the Group’s future development stream. The selection below again demonstrates Crest’s ability to secure land strategically, through OJEU bidding and through competitive op
Slide 41: The Crest Nicholson Journey
Crest Nicholson Crest House Pyrcroft Road Chertsey THE CREST NICHOLSON JOURNEY Surrey KT16 9GN Tel: 01932 580 555 Fax: 0870 336 3990 crestnicholson.com
Slide 42: Crest Nicholson 1963 – 2013
CREST NICHOLSON New merger 1972 1963 – 2013 In 1972 Crest Homes merged with renowned boat builder Camper & Nicholsons to form Crest Nicholson At the heart of Crest Nicholson is a mission Limited. From 1972 through to the 2000’s, the Group expanded through Left to right: Roger Lewis, Ivan Lyons, Tony
Slide 43: Crest Nicholson history timeline
John Callcutt Climbing out of recession An additional banking facility from the US was agreed, 2001 Profits increased by 25% to £63 million 1991 and Nicholson Estates and Crest Nicholson Properties appointed as A £19 million rights issue led to were merged to form a specialist urban renewal The Grou
Slide 44: The Queen's Award for Enterprise
Challenging times for the housing market Building on performance Committed to apprenticeships 2007 2011 2008 was a particularly challenging year for the housing In 2011 the Group continued to build on its performance Crest Nicholson reinforces its commitment to market. Property prices were falling,