INTRODUCTION

Glasgow: Powerhouse of the Scottish Economy

Glasgow City Region’s position as the largest integrated economic region in Scotland is well established with around a third of Scotland’s output, business base, research power and employment. Glasgow is recognised as one of the most affordable cities in the UK and beats London, Manchester, Birmingham and Edinburgh on property and labour costs, yet delivers on quality across the board. Although it is home to Scotland’s largest office market, Glasgow still has a requirement to increase the level of Grade A office square footage to support new and existing businesses looking to set up and grow, as well as address the requirements for hybrid and collaborative working.

Glasgow is currently the leading city for BTR in Scotland with the largest pipeline and the greatest number of approved or under construction units. Moda’s Holland Park, Platform’s Central Quay and L&G/Drum Property’s Solasta developments together will create 1325 high quality apartments in and around the city centre. The first BTR for families by Casa was opened in November 2023 in the east of the city offering high-tech family homes for rent. This is a new type of tenure for Glasgow and one which could help meet the demands of modern family life.

Uniquely, Glasgow and the city region is home to 3 innovation districts – Glasgow Riverside Innovation District (GRID), Glasgow City Innovation District (GCID) and Advanced Manufacturing Innovation District Scotland (AMIDS) anchored by the Universities of Glasgow and Strathclyde, creating places which nurture and support the growth of our clusters and sectors in health and life sciences, enabling technologies and advanced manufacturing. Innovation Zone status was awarded to the City Region in 2022 and the region’s most innovative businesses and organisations will benefit from access to £160 million over the next 10 years towards the creation of a more productive and competitive regional economy.

Each innovation district has distinct real estate requirements but share the need for new industrial infrastructure, specifically wet and dry labs and flexible, collaborative working space. A recent study by Ryden, commissioned by Invest Glasgow, highlights the scarcity of fit-for-purpose lab space, undermining the potential of our world class health and life sciences cluster across the region to deliver on jobs and productivity. As a priority, Glasgow is seeking to engage with investors and development partners to help rebuild our industrial asset base, in particular new lab facilities. Both new-build and adaptation of existing buildings will be considered.

Glasgow has an ambitious target of being net zero carbon by 2030. A key component will be the delivery of the Local Heat and Energy Efficiency Strategy which aims to bring together key priorities around the reduction of carbon emissions, improvement of domestic and non-domestic building stock and the need for affordable warmth. Glasgow City Council is currently considering the best options and most effective means to deliver the strategy including the establishment of an Energy Partnership with the private sector. The city is also working on developing a green funding model in a bid to secure transformative levels of investment for a climate resilient future.