PRESS RELEASE
Release date: 27th April 2016
Dealerships drive towards alternative property options
Car dealerships are being urged to seek alternative property solutions following news that rental fees will ‘rise significantly’ over the next few months.
The advice comes from temporary building specialist Spaciotempo following a worrying prediction from the Automotive Property Consultants that competition with other retail users will raise the average rental price back to figures last seen a decade ago. The forecast was made in the organisation’s Spring 2016 market review, before both Volkswagen and JLR committed to expanding their national networks.
Spaciotempo believes that uncompetitive rental price increases, and the rocketing price of land, is already turning car dealerships towards more affordable, and convenient temporary structures, and insists that these needn’t just be viewed as interim solutions. The company, which has already provided temporary premises for dealerships including Lookers Stirling Audi, Cooper BMW, and Robins and Day Surrey, is already preparing for an increase in requests from the motor trade over the next few months.
Scott Jameson, Managing Director of Spaciotempo, commented: “The motor trade has been struggling with rental increases over the last few years, but managed to remain resilient in the face of this, posting impressive financial results. But with increasing competition for land coming from the industrial and manufacturing sectors, the motor trade is at risk of losing out on space altogether, or having to pay prohibitive costs for land.
“Temporary solutions can be durable options for both the short term and the long term. Not only are they more cost effective than permanent solutions, but they can be installed and removed quickly and easily, providing affordable growing space. Lately, we have been supplying temporary solutions to dealerships to enable them to continue to trade during large refurbishment projects, but many of our buildings remain in operation for years afterwards.”
Although the UK economy is showing signs of recovery from the 2008 recession, for car dealers, this has resulted in a lack of traditional dealerships as most existing property stock was sold off during the recession, or let, with few suitable new properties coming on the market. This had led to a rise in total new builds as car manufacturers look to cash in on increasing demand for new vehicles, with a record 2.6 million cars being sold throughout 2015, a 6.3% market growth according to the SMMT.
Scott Jameson added: “We are finding that more and
more dealerships are turning to temporary structures to give them affordable
growing space. The benefit of this option is that temporary buildings are as secure as any traditional permanent structure
and can be used to house £50,000 cars just as effectively as they can £5
components. They are secure, durable, and can look just as aesthetically
impressive with the right design and planning.”
- Ends -
Pictured:
Spaciotempo’s temporary structure for Cooper
Durham
About Spaciotempo
Spaciotempo is a market
leader in the design, manufacture, hire and sale of temporary buildings for the
industrial, distribution, retail and sports sectors.
With offices and vast stock
holdings in the UK, France and Spain, plus more than 40 years of experience,
the company is able to provide an extensive range of standard or bespoke
temporary building solutions throughout Europe.
Spaciotempo is part of GL
events, a company that is fast becoming the global leader in the provision of
temporary structures and event solutions. It now has a turnover of more than
900 million euros with offices throughout the world.
For further
information, please contact:-
Editorial – Rachel Baker, Marketing Manager at Spaciotempo on 01889 878 633, or John Edden, Bridge PR & Media Services on 024 76 520025, or e-mail john@bridgepr.co.uk.