Relocation Olympics Newsfeed

May 2012 – Travel Advice

For advice on how the Games will affect travel, take a look at www.getaheadofthegames.com for alternative routes and traffic lanes

April 2012 - Housing Update

Demand for accommodation in the capital for the peak period between June to September is already rising and some landlords are seeking opportunities to capitalise on the higher rental costs they can charge. This has mainly been around the main Olympic venue in East London.

Some London Landlords close to the main venue sites are also attempting to insert an ‘Olympic Clause’ into their leases.  This means that they are willing to take on leases, but only until the start of the Games. They will also only accept a lease renewal on condition that the tenant is willing to vacate the property from around the end of June to until early September. Added to this we need to take into account that the run up to and summer period are the busiest in the housing market. On the flip side we have found speaking to our clients that there is a definite push to initiate moves early and to hold off any non urgent or critical moves until after the Olympic period. Some of our clients are in the process of putting a travel ban in place during this period.

Interdean has been working with the larger property agents to keep updated on the property market and to date we have seen very little impact on the market other that immediately around the main venue. Finding and renting good quality property at the right price in London will always be a challenge. We envisage the biggest challenge for our home search department being their mobility during the immediate run up to and the actual games period. The traffic congestion in and around the whole of London and the surrounds should not be underestimated. We are working closely with TFL to plan ahead and understand the traffic restrictions that will have an impact on our delivery of a home search program to our clients.

April 2012 - Temporary Accommodation  Update 

With the release of some 20% of hotel rooms pre booked by The London Organising Committee of the Olympic Games and Paralympic Games (LOCOG) in January some serviced accommodation providers have relaxed some of their minimum stay rules for this period. At the moment there is still availability in the market place and we would advise that those looking to go into serviced accommodation during this period book early to avoid disappointed.

Interdean has been meeting with serviced accommodation providers to negotiate more flexible arrangements and have found that the providers are committed to service those clients who they know will be repeat customers over many years to come rather that ‘chase’ the one time bookers over the Olympic period.

Again, following the Olympics in Beijing and Sydney, Santa Fe and Wridgways reported that occupancy rates dipped to below 20%.  In each case, Interdean will support those temporary housing providers that demonstrate flexibility during the peak periods.

April 2012 - Immigration  Update 

There has been no official word from UK immigration regarding changes to immigration processes in the lead up to the Olympics.  The only changes to note to the UK immigration rules regarding Olympic and Paralympic Games ‘Family Member Visitors’ will come into effect on 30^th March 2012, and will cease to have effect on 9^th November 2012. More detailed information on this is being released towards the end of March 2012.

However, in the case of the Beijing and Sydney Olympics, lead times for visa approvals extended due to volume of applications Throughout the lead up to and during the Games, restrictions and changes to visa and work permit regulations were in constant flux.  The authorities also became extremely particular regarding applications, especially with applicants from states viewed as a potential terror risk. Interdean is planning in anticipation of these issues.

April 2012 - Household Goods  Update

• Traffic restrictions in the city will affect parking and ability to deliver or collect consignments
• Introduction of flexible working hours for thousands of employees in an effort to minimise disruption caused by road closures and heavy traffic areas
• Anticipate Higher Transport Costs – airfreight availability will be at a premium
• Stricter Customs Regulations & more inspections– delays anticipated, heightened security
•  Transport for London (TfL) Olympic Activity Impact Areas – online indicates the routes affected –http://www.tfl.gov.uk/assets/downloads/Olympics_download_optimised.pdf Not every day will be the same dependent on venues in use.
• TfL Freight Planner is now available http://www.tfl.gov.uk/microsites/freight/london_freight_plan.aspx
• A Games Data Layer will be added to the site in April 2012 to enable trips to be plotted on a certain day over the Games and to have an idea of transit time for the journey and whether this is feasible or not.
• Real-time information will be available during the Games
• An Alternative route Network will be available to avoid congested areas
• Designated areas for events associated with Olympics such as an un-ticketed viewing area for people to watch the Games (such as Hyde Park, Victoria Park, Trafalgar Square).

November 2011 - Olympic and Paralympic route network

The Olympic and Paralympic route network (ORN and PRN) has been released by Transport for London. To see how you and your business might be affected, click on the following link: http://www.tfl.gov.uk/corporate/projectsandschemes/18196.aspx

September 2011 - Things to start thinking about

The following is a review of the Key Impact areas that are expected to affect relocation activity:

1. Immigration

There has been no official word from UK immigration regarding changes to immigration processes for employees on assignment in the lead up to the Olympics.

It is our understanding that a special visa category has been created for those athletes and officials travelling to the UK for the games. The majority of athletes are expected to obtain their visas well before the start of the games. The UK Border Agency has not released plans to increase resources for this event but realistically we can expect delays in processing visa applications as we approach the start of the Games and also during the games. Interdean would urge anyone requiring a visa in the months running up to the Games to apply well in advance of this period.

In the case of the Beijing and Sydney Olympics, lead times for visa approvals extended due to volume of applications.  Throughout the lead up to and during the Games, restrictions and changes to visa and work permit regulations were in constant flux.  The authorities also became extremely particular regarding applications, especially with applicants from states viewed as a potential terror risk.

2. Housing

Demand for accommodation in the capital for the peak period between June to September is already rising and landlords are seeking opportunities to capitalise on the higher rental costs they can demand.

There have also been cases of fraud reported in the Press, whereby overseas visitors are booking accommodation online and paying deposits for “ringer” properties listed on websites which do not actually exist.  This has left companies that operate “lump sum” policies for their assignees vulnerable to similar scams.

Some London landlords close to the Olympic area are also attempting to insert an ‘Olympic Clause’ into their leases.  This means that they are willing to take on leases, but only until the start of the Games.

They will also only accept a lease renewal on condition that the tenant is willing to vacate the property from the end of June until early September.

Interdean has been working with the larger property agents to advise their landlords against using the ‘Olympic Clause’.  Interdean has stated that they will not support landlords after the Olympics who have undertaken these tactics.

In the case of both Beijing and Sydney, occupancy of rented accommodation following the Olympics dropped to below 50% capacity.

3. Temporary Accommodation

In Beijing and Sydney, prices for serviced accommodation and hotel rooms were similarly affected, whereby prices tripled leading up to and during the games.

Currently, some serviced accommodation companies in London have been quoting minimum length contracts to relocation companies.

In response to this, Interdean has been meeting with its larger serviced accommodation providers to negotiate more flexible arrangements.

Again, following the Olympics in Beijing and Sydney, Santa Fe and Wridgways reported that occupancy rates dipped to below 20%.  In each case, Interdean will support those temporary housing providers that demonstrate flexibility during the peak periods.

4. Household Goods Moving

The Olympics represents a significant logistical challenge for household goods moving operations.

There are a number of “Olympic Traffic Lanes” which have been identified on main arterial roads serving London and within key city areas.  These are yet to be confirmed, but by reducing the number of lanes, we expect that there will be a knock-on effect to delivery and collection times throughout the Capital.

The lanes are to be used by the 18,000 athletes and officials and will be on a third of the 109-mile Olympic Route Network (ORN), which will be roadwork-free and constitutes one percent of the Capital’s roads.

Parking is also going to be affected as parking bays are restricted for security purposes and to reduce congestion.  This will also make suspending parking bays for collections and deliveries dependent on property locations.

Tighter security measures are expected to extend to customs procedures.  In the Sydney Olympics, the number of container and shipment inspections increased significantly which delayed more shipments and increased customs charges.

Interdean is working to mitigate the impact of these through working with clients to pre-plan assignment volumes in 2012.

5. Preparing for the Olympics Consultations

Interdean is currently preparing a series of Client Focused Seminars to develop bespoke plans in preparation for the Olympics.  If you would like to know more, please contact Interdean.

olympics@interdean.com

+44 (0)20 8961 4141

Key Dates

Torch Relay – 19th May 2012 – 27th July 2012

Olympic Games – 27th July 2012 – 12th August 2012

Paralympic Games – 29th August 2012 – 9th September 2012

Count Down to the Olympics

A Newsfeed that has been set up by Interdean which will be regularly updated in the build up to the Olympic Games.

This Newsfeed includes a guide which has been developed in consultation with our sister offices Santa Fe Beijing and Wridgways Sydney, who have both had previous experience of managing relocation activity during the Olympics.

Preparation For The Olympics

The London 2012 Olympics are coming!  And with the Queen’s Jubilee and Wimbledon due to occur within June, there will be a definite impact on the mobility programmes for organisations relocating employees to the UK and, more specifically, London.