The Belfast Region
The investor opportunity across the Belfast Region
In addition to Belfast City Council, the wider Belfast Region encompasses Antrim and Newtownabbey Borough Council, Ards and North Down Borough
Council, Lisburn and Castlereagh City Council, Mid and East Antrim Borough Council and Newry, Mourne and Down District Council.
The Belfast Region is a compelling investment proposition, perfectly positioned post-Brexit, with unique strengths including the competitive advantage of access to EU and GB markets and connections to international markets such as the US.
Belfast Region industrial and logistics sector
The industrial and logistics sector has been the best performing over the past five years in Great Britain. Belfast and the wider region are only beginning to see significant investment and occupier interest over the past 12 months and we believe there is huge opportunity for first mover advantage in the sector.
- Changing behaviours in the retail sector to online has resulted in significant developer and investor activity in the industrial and logistics sectors across Europe.
- Belfast and the wider region has not witnessed any speculative activity in the industrial or logistics sectors since 2007.
- Since Quarter 4 in 2020, investor enquiries for logistics have increased significantly.
- Logistics and industrial development represents one of the largest potential growth sectors for the Belfast Region.
- The pandemic has accelerated changes that were already underway as many temporary behaviours become more permanent. The growth of online retailing has helped support the need for further logistics space. Belfast and the wider region offer opportunities for both investors and occupiers seeking lands zoned for logistics space.
- CBRE is currently tracking occupier requirements for in excess of 1.9 million sq ft logistics accommodation throughout Northern Ireland. There is currently no supply to meet this demand. Equally there are very limited new build opportunities for existing businesses to grow into and there is a need for smaller schemes to meet this need.
- There are a number of Ireland-wide logistics requirements which could be in part a result of lack of space and pricing in the greater Dublin area.
Development opportunities across the Belfast Region
- The Belfast Region Investment Guide identifies a number of strategic opportunity sites potentially available for investment.
- The strategic location on the eastern economic corridor of Ireland makes it one of the most industrious and ambitious regions and best placed to take advantage of the cross border location, Brexit advantages and locational advantages into the UK and EU.
- Across the partner councils, a number of local and regional projects have been selected to help transform and regenerate the wider region.
- Investment has been secured to deliver some of these flagship projects, but many more opportunities are available to be realised across the Belfast Region.
Who has invested in the Belfast Region?
Between 2015 and 2020, investor activity in the Belfast Region (excluding Belfast City and the Greater Belfast Area) totalled £428.34 million. A selection of Belfast Region deals are detailed in the table.
| Address | Purchaser | Price | Sector | Purchaser type |
|---|---|---|---|---|
| Valley Retail Park, Newtownabbey | AEW Europe | £7,150,000 | Retail | Institutional |
| Bloomfield Shopping Centre and Retail Park, Bangor | Tristian Capital Partners | £54,150,000 | Retail | Institutional |
| The Boulevard, Banbridge | Tristian Capital Partners | £11,000,000 | Retail | Institutional |
| The Junction, Antrim | Tristian Capital Partners | £21,795,000 | Retail | Institutional |
| Highfield Retail Park, Craigavon | Private local | £14,250,000 | Retail | Institutional |
| Damolly Retail Park, Newry | MJM | £30,750,000 | Retail | Private local |
| Tower Centre, Ballymena | Private local | £6,500,000 | Retail | Private local |
| Curry’s, PC World, Lisburn | Aberdeen Asset Management | £13,925,000 | Retail | Institutional |
| Tesco Extra, Newry | Investec | £27,250,000 | Retail | Institutional |
| Castlebawn Retail Park, Newtownards | Home Bargains | £7,200,000 | Retail | Owner occupier |
| Down Retail Park, Downpatrick | Comer Group | £11,000,000 | Retail | Property company |
| Bow Street Mall, Lisburn | Comer Brothers | £12,500,000 | Retail | Property company |
| Antrim Business Park, Antrim | Private UK | £12,500,000 | Industrial | Property company |
| Clandeboye Retail Park, Bangor | Harry Corry Pension Scheme | £8,700,000 | Retail | Private local |
| Sprucefield Retail Park, Lisburn | NewRiver Retail | £40,000,000 | Retail | Institutional |
| Abbey Retail Park, Newtownabbey | State AM | £33,000,000 | Retail | Institutional |
| Royal Mail, Mallusk | Unknown | £30,000,000 | Industrial | Private local |
| Curry’s, PC World, Sprucefield | Private local | £8,000,000 | Retail | Private local |
Belfast investment by sector between 2015 and 2020
| Sector | Percentage |
|---|---|
| Retail | 86 per cent |
| Office | 10 per cent |
| Other | 2 per cent |
| Industrial | 1 per cent |
Belfast investor types between 2015 and 2020
| Investor type | Percentage |
|---|---|
| Institutional | 65 per cent |
| Private local | 21 per cent |
| Property company | 10 per cent |
| Owner occupier | 3 per cent |
The Belfast Region City Deal
What is the Belfast Region City Deal?
The Belfast Region City Deal is a collaboration between the Belfast Region partner councils, Queen’s University Belfast, Ulster University and the regional further education colleges alongside NI and UK Governments. Partners have agreed an integrated programme to transform the region’s economy. The £1 billion co-investment package will seek to address a number of key barriers to growth.
What will it deliver?
The Belfast Region City Deal will deliver growth in the city regions economy with a 10-year programme to increase GVA by £470 million and creating up to 20,000 new and better jobs, accessible to people from all communities.
The Belfast Region City Deal partners have agreed four investment pillars:
- Infrastructure
- Tourism and Regeneration
- Innovation and Digital
- Employment and Skills
What are the advantages?
1. Excellent transport infrastructure
- Two airports offering daily scheduled flights across UK, Europe and other worldwide destinations.
- Belfast Harbour is the second-busiest port on the island of Ireland.
- Motorway network linking all areas including easy access to Dublin and the EU.
2. Location
- Easily accessible location.
- London is an hour away by air and Dublin is 90 minutes by car.
- Northern Ireland is the only part of the UK sharing a land border with the EU.
3. Competitive operating costs
- Salary costs are lower than other regions of the UK and up to 30 per cent lower than London, Dublin and Paris.
- Operating costs are lower than the rest of the UK and Europe (FDI benchmarking).
- Prime office rents are amongst the lowest in Europe and are lower than many other UK regional locations and Dublin.
- The overall tax burden in Northern Ireland is the lowest of all the major European economies.
4. Digital connectivity
- Northern Ireland was the first region in Europe to achieve 100 per cent broadband coverage.
- Project Kelvin offers resilient and fast connectivity to North America.
5. Highly skilled and talented workforce
- The Belfast Region provides access to over one million people. It generates approximately £47,000 GVA per head.
- 61 per cent of all jobs in Northern Ireland are based in the region.
- £1 billion value of the Belfast Region City Deal
- £470 million planned increase in GVA
Belfast Region City Deal Projects
This is a selection of projects being progressed as part of the Belfast Region City Deal.
- i4C Innovation Centre
- St Patrick’s Barracks, Ballymena
- Belfast Destination Hub, Belfast city centre
- Bangor Waterfront Bangor, County Down
- Hillsborough, Hillsborough, County Down
- Newry City Centre Regeneration, Newry
- Advanced Manufacturing Innovation Centre (AMIC), Belfast region
