Member Article

Renaissance of the local trader

While Newcastle city centre is a hive of activity, it’s easy to overlook the contribution of the city’s suburbs to the region’s commercial property market revival.

Places such as Heaton and Gosforth are thriving hubs that have witnessed plenty of recent activity in the industrial and retail sectors.

This activity has led to the return of the local independent trader to the city’s suburbs. When I walk around these places I see so many quirky cafes and boutique gift and craft shops that weren’t there a couple of years ago, when the shadow of recession loomed large over the region.

Now, though, the picture is much brighter. With many large city centre-based retailers still struggling to recover from the recession, opportunities have arisen for smaller, more agile independent companies to open up in strategically well placed but less cluttered suburban areas.

Earlier this year, Bradley Hall acquired a mixed-use parade of shops on Canterbury Way in Wideopen. Every single unit – including a small tea room, a butcher’s shop, bakery, hair salon and vets – has now been let to a local operator.

Other areas are benefiting, too. Chillingham Road, the main commercial road in Heaton, is buzzing with activity while there are high occupancy rates in business units in nearby Gosforth. Meanwhile, in the market town of Alnwick – admittedly a bit far out to be classed as a Newcastle suburb – we have let four shops to small retailers and all of them say that business is brisk.

The picture in city centre locations is somewhat different. Larger retailers are reducing space requirements in shopping arcades such as Eldon Square where many traditional high street shopping units have vanished to be replaced by online portals.

Although many businesses in central Newcastle are doing well and increasing sales, a key trend is the emergence of smaller independent traders in the suburbs. It is easy to see why. Heaton, Gosforth and Wideopen are all situated near main transport routes including the A1, A19, the Tyne & Wear Metro network and Newcastle International Airport. They are also close to densely populated residential areas, which provide a source of custom to retailers which sell directly to the public, such as coffee and gift shops.

Industrial firms have also benefited from setting up a base in the outskirts of Newcastle, in locations such as Cobalt Business Park and Brunswick Industrial Estate. In the last couple of years companies in out-of-town locations have benefited from generous rental deals as developers seek to fill unoccupied units.

Being based in Newcastle city centre has its advantages – but the revival of the local trader in suburban areas cannot be ignored. It has had a positive impact on the local economy and will continue to do so for the foreseeable future.

By Neil Hart, director at Bradley Hall

This was posted in Bdaily's Members' News section by Bradley Hall .