Crisis of confidence could put property market back 20 years

By Frank Mckenna on Apr 21, 08 03:38 PM

That old chestnut of 'too many empty city centre apartments' returned with a vengeance this week, with a local estate agent predicting that the current 'credit crunch' was likely to see about 25% wiped off the value of many city centre flats.
This announcement led to the inevitable conclusion by some, that this was because too many developments had taken place in Liverpool City Centre in recent years, and that it was time for the council to place a ban on all future residential schemes.

This is not the first time such a proposition has been aired, but it is concerning that with every bad news story relating to the property market, civic leaders feel confident in articulating a 'solution' that would put the city back 20 years.
The adoption of any such policy would not only see the city fall behind its UK competitors in terms of attracting inward investment, but would also send out a message to the rest of the country that lunatic municipal politics was back in its spiritual home of Liverpool.
Given that the city centre has looked like a building site for the last three years, it is remarkable that the residential market here has been as buoyant as it has.
Developers whose job it is to know the market and its trends, are demonstrating a confidence in our city that appears to be sadly lacking from some of our public representatives. Developers know that with the completion of the Grosvenor scheme, the continued regeneration of the waterfront, and the growing number of quality bars, restaurants, hotels and leisure facilities in the city, Liverpool will be a very attractive location for city living.
Instead of moaning about investors turning swathes of derelict wasteland into attractive, modern accommodation, would the anti-development brigade not be better served by working with developers to ensure that when projects are approved, we get quality design and architecture, a commitment to the employment of local labour, and genuine consultation and engagement with any existing residents affected by their scheme.
I would not be daft enough to suggest that every planning application should be approved. But don't throw the baby out with the bath water. Work with developers, not against them, and Liverpool can flourish.