An ‘unrivalled’ regional opportunity for real estate

The focal point of discussions about the Oxford-Cambridge Arc can sometimes fall upon – and the clue is in the name – the cities at either end. Two cities the global standing of which is unquestionable. But as Peter Horrocks notes, “the curve is a bigger part of an arc than the endpoints”. “Of course, Oxford and Cambridge are globally famous and have fantastic reputations,” said Horrocks, chair of the South East Midlands Local Enterprise Partnership, in an EG panel to discuss promoting growth across the middle of the Arc. “The area between Oxford and Cambridge is successful – it’s about how can it potentially be more successful. Having a concept for the Oxford- Cambridge Arc, a clear vision that links increased economic productivity with high environmental standards, can make a really attractive offer for the residents of the area but also for businesses that want to invest.” Horrocks spoke during EG’s Vision for the Arc event, which took place as the government launched a public consultation on the future of the area, the results of which it will use to create a spatial framework to guide development and investment. For Horrocks, the strength of Milton Keynes’s economy, the area’s connectivity to London and the Midlands and the attractiveness of the countryside surrounding its towns and cities should all drive interest and investment right along the Arc. The opportunity from the upcoming framework, he added, is to pitch the region as a unified whole. “The area as a whole isn’t that well known,” Horrocks said. “So giving it greater identity, using the concept of the Arc or possibly the green Arc to emphasise environmental credentials, can give it greater coherence and also political coherence. It’s a number of different counties, a number of different population centres that haven’t traditionally been thought of as an entity. That’s going to take some time to build. But I think if the concept is sufficiently attractive, and business and local people are enthused by that, that can create a real multiplier effect.” Hearts and minds The crux of the consultation will be bringing in local communities, some members of which will have had little involvement in such a process before. “We need to win those hearts and minds, because ultimately the people who live there and the businesses that already operate there are our greatest advocates,” said Rachel Dickie, executive director for investment at Grosvenor Britain & Ireland. “We’ve got to start local. We’ve got to tap into the civic pride and all of the good stories around these areas and create that vision, which will then allow us to go out with a really compelling story for foreign investment. Coming at it from a Grosvenor and a wider investor perspective, we want as much certainty as possible that these things will happen and they will only happen with that local support.” The interest from investors, including real estate players, is there. At Countryside, managing director Gareth Jacob is establishing a new division covering the region, including initiatives in Milton Keyes, Bedford, Northampton and Luton. We’ve got to tap into the civic pride and all of the good stories around these areas and create that vision, which will then allow us to go out with a really compelling story for foreign investment – Rachel Dickie, Grosvenor Britain & Ireland “For us, it’s a region that’s focused on delivery of new housing, new communities in those areas,” Jacob said. “To the point of how we get people on board, I think if they see the benefit of those new communities, the new infrastructure, the ability to be able to live in an environment that is growing, is successful and has opportunity, then we will gather that support. It will enable the area to continue to grow and be seen and recognised as a place that people want to bring their families to and work, live and enjoy the area.” The eventual framework will need to overcome hurdles, Jacob added – not least transport infrastructure in the region, which is improving in terms of rail but still needs work in terms of roads. Alberto Martin, chief executive of London Luton Airport, agrees on the urgency. “Luton Airport, prior to the pandemic, was already one of the top three hubs for business aviation,” Martin said. “We are the front door for the region and a great driver of inward investment. But clearly,  the main barrier is about the connectivity in the region, especially east-west, and also to provide better and faster access to central London… Connectivity is an opportunity to focus on and keep boosting. That, by extension, will help to attract businesses to locate to the centre of the Arc.” Unrivalled opportunity Like speakers across EG’s event, panellists were excited by the opportunities that will come from the Arc consultation and ultimate framework. Grosvenor’s Dickie said the project offers an “almost unrivalled opportunity” to develop a framework that puts sustainability at its heart, for example. But they were also aware of the hard work yet to come. “At the moment there are a lot of hurdles that we have to jump through to deliver very straightforward housing schemes,” said Countryside’s Jacob. “If we’re looking to develop that into far wider sustainable communities that offer housing, employment and infrastructure, there needs to be a huge level of support and guidance from central government to enable that to happen – to get that unification and agreement… Otherwise, it’s not going to link up.” With collaboration and ambition, however, the project could inspire the rest of the UK and beyond. “It’s not unrealistic to think about comparisons with some of the key growth areas, particularly the technology-related ones, in the rest of the world,” said Horrocks of the places the Arc should see itself competing with on the global stage. “This is where the relationship with Oxford and Cambridge is absolutely critical. The intellectual product of our great universities is equivalent to those in the US and some of the strongest growth areas in Europe and in East Asia. If you think of the relationship between Harvard and MIT and the growth corridor in Boston in Massachusetts, if you think about the relationship between Stanford and Silicon Valley, it’s right that we should be thinking with that level of ambition.” Expert speakers Rachel Dickie, executive director, investment, Grosvenor Britain & Ireland Peter Horrocks, chair, South East Midlands Local Enterprise Partnership Gareth Jacob, managing director, Countryside Alberto Martin, chief executive, London Luton Airport Click here to watch all the coverage from EG’s Vision for the Arc event To send feedback, e-mail tim.burke@eg.co.uk or tweet @_tim_burke or @EGPropertyNews Read more How a digital drive could reshape the OxCam Arc All to play for in the Arc COMMENT Moving the OxCam Arc plans from vision to reality COMMENT A one-off regional opportunity for real estate Photo: High Level/Shutterstock