MIPIM essential for all serious players
Mar 13 2009 by Roger Blears, Birmingham Post
Despite speculation to the contrary prior to the event, MIPIM has again proved it is the global market place, where those serious about regeneration come to do business.
When attracting investment to the region, it is important international investors are made aware the West Midlands now offers professional services of a standard more usually associated with London.
When regeneration project owners head to MIPIM, it is important they are equipped to answer the questions international investors will raise.
Project owners will be interested in background issues such as what marketing materials will be required? What are the “pros and cons” of parallel fund and master/feeder fund structures?
There is neither the space nor the need to go over the banking crisis again, but it highlights the need for alternative sources of funding to get developers back on track. It is a message I have expressed at MIPIM and I have been encouraged by the number willing to listen to how we can develop optimal funding structures through our ‘City-facing’ funds, tax and regulatory practice work.
This week, these pages have highlighted the ‘Green’ agenda at MIPIM this year and the importance of sustainability – no longer buzz words, but the modern reality.
We recently helped one longstanding client, Foresight Group LLP, launch a £300 million environmental infrastructure fund to invest in locally distributed renewable energy and waste recycling. We structured the Fund as a series of parallel limited partnerships with one set for institutional investors and another for retail investors who also have the opportunity to participate from their SIPPs through a unit trust feeder fund. The fund accommodates a diverse group of investors and will attract international investment to help the UK deal with climate change issues.
The world’s transition from oil based economies will be sudden and the next four years will produce an increasingly frenzied lead up to a gigantic investment in renewable energy. This energy revolution will have a profound impact on everything we construct, move or deliberately heat or cool, but most of the technology already exists; we now just need investment to increase its widespread acceptance.
Because nearly 40 per cent of greenhouse gas emissions are associated with the construction or running of buildings, the real estate industry will play a major part in the battle against global warming. Legislation is expected to be onerous and changing rapidly – a major reason behind www.cc-forum.co.uk, our resource to keep developers abreast of important changes.
In conclusion, whether you are an architect, developer, investor, government body or a lawyer, attendance at MIPIM this year was essential for all serious players – see you next year.
* Roger Blears is senior partner at Martineau
