UK holiday and caravan park market: the brighter side of 'Brexit'

Published on: 8th July 2016

Adam Burkinshaw, partner in our holiday and caravan park division, talks about how 'Brexit' could affect the UK holiday market.

“Brexit has created a further degree of uncertainty in the UK property market, but there’s one part of the market that is well placed to capitalise on the effects of the recent vote to leave the European Union – the holiday and caravan park market.

With often idyllic countryside or beachside locations, holiday and caravan parks have always proven to be popular holiday destinations with UK tourists. The emergence of ‘luxury’ lodge style holiday parks and increasingly popular ‘glamping’ sites has widened the appeal of the market to tourists wanting high-end UK breaks. 

Over recent years in particular, the UK holiday and caravan park market has been buoyant. The recent recession, coupled with the increasingly trendy ‘staycation’ concept has helped to make holidaying in the UK a more popular choice amongst UK tourists. And whilst holiday and caravan park bookings were already looking promising for 2016, some park operators have already enjoyed a surge in enquires since the vote.  

Tumbling exchange rates are one the biggest reasons, with the value of the pound at 31-year low, UK tourists are getting far fewer euros or dollars when exchanging their pounds, making holidays and spending abroad more expensive than before. Uncertainty on whether low-cost airlines will be able to continue to offer favourable fares, or whether the pound will recover, could mean the number of UK residents looking for holidays at home continues to increase.

A drop in the value of the pound will also give international tourists more incentive to visit the UK. Just last month VisitBritain published record figures for the first quarter of 2016 for inbound visits to the UK (a 6% increase on 2015), which could be set to rise again sharply as the cost of visiting the UK goes down for over-seas tourists.

As the market leaders in the valuation and sale of UK based holiday and caravan parks, we’re pleased to see one of the more positive effects of Brexit – improved trade and profitability will continue to drive an already buoyant market for holiday parks in the UK”.

To find out more about Edwards & Partners, our holiday and caravan park specialists, click here

Contact Us

New planning boost for park home sector

Owen Pike, head of our planning team, comments on how park home operators could benefit from changes to planning laws, which identify residential caravans as an additional type of housing for the first time. Clause 124 of the Housing and Planning Act 2016, which came into force on 12 July, recognises residential caravans as having a role in contributing towards the supply of housing in a given area.

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Owen Pike, head of our planning team, comments on how park home operators could benefit from changes to planning laws, which identify residential caravans as an additional type of housing for the first time.


Clause 124 of the Housing and Planning Act 2016, which came into force on 12 July, recognises residential caravans as having a role in contributing towards the supply of housing in a given area.

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In a significant step change from previous planning guidance, it means local housing authorities will need to start forward planning for the provision of park homes – increasing the prospects that new park home applications will be given planning approval.


The Government’s online Planning Practice Guidance (PPG), which sets out the methodology for assessing housing need, is now expected to be updated in line with Clause 124, to specifically identify park homes as an additional type of housing that needs to be considered and planned for.


This is a significant change for the park homes sector and it could have a positive impact on numerous sites across England when applying for planning permission for new residential caravans. 


We support operators throughout the planning process and we have been successful recently in obtaining planning permissions for park homes by explaining their social and economic benefits. However, this change is set to boost the status of park homes within National Planning Policy, as reflected in the NPPF, which requires Local Planning Authorities to produce Local Plans that will deliver the full, objectively assessed ne eds for market and affordable housing in their housing market area.


For the first time, residential caravans have been identified as contributing towards housing supply and that could be great news for those sites looking to increase in size.


Please click here to see the briefing note, prepared by Owen on the potential opportunity for the park homes sector.

 

Contact Owen

Mobile: 07889 701547


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Specialist leisure team celebrate 40 years of service

Click here to view our 2016 Caravan & Holiday Park Autumn Portfolio Our specialist leisure and caravan parks division, formerly known as Edwards and Partners, is celebrating its 40th year of service to the UK caravan parks industry and with a buoyant market is looking forward to the next 40 years. Chris Tucker, partner in our Tiverton office, commented “The Edwards and Partners story began 40 years ago in a single office in Exeter, Devon servicing caravan park clients throughout England, Wales and Scotland. The company’s first completed sale was Maustin Park at Kearby near Harrogate, North Yorkshire, which was the springboard for a successful first year.”

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Click here to view our 2016 Caravan & Holiday Park Autumn Portfolio

Our specialist leisure and caravan parks division, formerly known as Edwards and Partners, is celebrating its 40th year of service to the UK caravan parks industry and with a buoyant market is looking forward to the next 40 years.

Chris Tucker, partner in our Tiverton office, commented “The Edwards and Partners story began 40 years ago in a single office in Exeter, Devon servicing caravan park clients throughout England, Wales and Scotland. The company’s first completed sale was Maustin Park at Kearby near Harrogate, North Yorkshire, which was the springboard for a successful first year.”

[fulltext] =>

The firms records show Maustin Park sold in November 1976 for £55,000. The park has changed considerably over the years and now comprises an award winning and high quality park operated by Larkham Leisure, a well-regarded operator with 5 holiday parks across Yorkshire. In its first year of trading Edwards and Partners sold 17 parks at prices ranging from £16,500 to £80,000. The average value in 1976 was just £50,000 which compares to an average value in the region of £1.5m in recent years, a thirty fold increase.

Adam Burkinshaw, partner in our York office added: “As our market share grew, and in response to customer demand, Edwards and Partners opened an office in North Yorkshire in 1997. This enabled the company to enhance its national coverage to the growing number of parks across North Wales, the north of England and Scotland.”

“In its early years Edwards and Partners concentrated mainly on agency work, although the demand for professional valuations and other consultancy services has supported further growth and the need for additional staff. Joining Sanderson Weatherall further enhanced the company’s service offering and provided a very solid base for the next 40 years. Edwards and Partners is now part of a truly national firm, quite a change from that first year in Exeter.”

Over the last 40 years Edwards and Partners has successfully dealt with over 1,500 park sales and estimate its experts have visited around two thirds of all caravan parks in England, Scotland and Wales.

Chris commented “One of the most pleasing aspects of my many years in this sector is the high level of repeat business from satisfied customers. In some cases we have sold the same park four times, albeit 10 years apart.

“The past 40 years has seen the company, and the park industry as a whole, continue to prosper. As it stands the market remains buoyant and the demand for parks in good locations is outstripping supply. Brexit may be creating some uncertainty in many markets, but the UK holiday market and the residential park home sector has always been robust. In the wake of significant world events we are sure that park operators will, as always, be well placed to capitalise on the effects of Brexit. For holidaymakers in particular, the drop in the value of sterling will make travelling abroad more expensive which can only be good for park operators and holiday businesses at home.”

Contact Us

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Leisure Agency

Sanderson Weatherall’s experienced and qualified team of licensed and leisure property professionals specialise in the valuation, sale, acquisition, rent review, inventories, rating, surveys and licensing of pubs, hotels, clubs, guest houses, restaurants, night clubs, holiday and caravan parks, and leisure properties. Advising a number of developers, owners and occupiers across the UK, we value, survey or negotiate the rent on over 700 pubs, hotels, guest houses, clubs and restaurants each year, with an approximate overall value of £225m. We have wide-ranging experience of the sale and acquisition of licensed and leisure property working on behalf of both private and corporate clients, insolvency practitioners, brewers and banks. Contact Us  

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Sanderson Weatherall’s experienced and qualified team of licensed and leisure property professionals specialise in the valuation, sale, acquisition, rent review, inventories, rating, surveys and licensing of pubs, hotels, clubs, guest houses, restaurants, night clubs, holiday and caravan parks, and leisure properties.

Advising a number of developers, owners and occupiers across the UK, we value, survey or negotiate the rent on over 700 pubs, hotels, guest houses, clubs and restaurants each year, with an approximate overall value of £225m.

We have wide-ranging experience of the sale and acquisition of licensed and leisure property working on behalf of both private and corporate clients, insolvency practitioners, brewers and banks.

Contact Us

 

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RICS CCS TDS Arla Ombudsman bsi