Latest News | 22 July 2020
Confidence during Covid
Experience tells me that inward investment is an emotional decision wrapped in rational packaging.
Yes, the business case – the assessments, the numbers and charts – need to be there but so does the sense of confidence, intuition and the instinct that all entrepreneurs work to.
In terms of investing in a city like Derby, this means investors are increasingly looking at the wider picture, including the ambition of place and its people.
Bottom-line question, is Derby a better bet than the other places seeking similar investment?
Last week, I received three such phone calls from London-based investors seeking that very assurance – was Derby a safe place to place their money?
The COVID pandemic has shaken the tree and in many respects has set the investment clock to year zero.
In Derby’s case, the economic hit has been exasperated by the news from the world of aviation and, in particular, Rolls-Royce, as well as uncertainty around the administration of intu nationally.
Investors often only see the headline and in all three occassions I was able to give assurance on the case for Derby.
At its heart is the fact that the city went on the front foot back in April by establishing a public-private Derby Economic Recovery Task Force. This was a clear signal that we acknowledge the challenge and have organised ourselves to meet it head on.
Chaired by the City Council Chief Executive and supported by a cadre of workstream groups, the Task Force has established a clear plan to build confidence, diversify the economy and to decarbonise.
It has sought to protect pipeline investments, whilst defining clear ‘asks’ for government support and is working on a post-COVID roadmap for the city.
Rolls-Royce sits on the group and is working closely as part of team Derby to minimise the impact of the reductions it is having to make, whilst at the same time making a firm commitment to the city as a future location.
Likewise, intu Derby is a member and has been able to explain how the Derby scheme is a joint venture with Kuwaiti backed Cale Street Partners, which puts the city at an advantage.
Investors very much take the lead from each other and the recent announcement of the 3,500-seater performance venue – to be built as part of the Becketwell regeneration – really couldn’t have come at a better time.
Believe me when I say, that to finally have a credible – public-private – solution to an embarrassing hole in the ground that has sat in the centre of our city for decades, is nothing short of a massive boost of confidence.
Last week, the 200 delegates at the Marketing Derby Property Summit heard an impassioned endorsement from the developer – St James Securities – on how it has worked with the City Council and the D2N2 Local Enterprise Partnership to pull together a stunning £200m mixed development and I urge you to look closely at the images they released. A true game-changer for Derby.
Becketwell was the hard nut to crack but this now poses a massive opportunity for the Assembly Rooms site, the Market Place and the Market Hall. Here is a publically-owned site, something of a blank canvass, and there will be no shortage of interest from investors once the city has defined its desires.
The news this week that the Secretary of State has decided not to ‘call in’ the 17-storey Landmark scheme means that – following the City Council Planning Committee last month to support the scheme – the route is now clear for this 200-unit apartment complex to move forward.
The word on the street picks all this up pretty quickly and there are already signs of additional, smaller scale schemes emerging from local and regional investors.
Confidence is the lifeblood of investment and Derby is suddenly well placed to build back better after this awful pandemic.
