Public organisations, local authorities and hospitality real estate investors are having to work more closely together in a bid to revitalise regional hubs, urban spaces and communities. With this has come challenges as well as opportunities.
To find out more about what is going on with urban regeneration we recently caught up with Niamh O’Connor, CEO, Summix Capital. O’Connor will be speaking on Monday 30 September at the Annual Hospitality Conference, on a panel entitled: 'Linking Infrastructure and Opportunity: Public-Private Synergy' (17.05 – 17.45).
Hospitality Investor: In your experience, how does collaboration between public and private sectors enhance the potential of any development?
Niamh O’Connor: Bridging the perceived divide between the public and private sectors is essential for maximising the potential of any development. The strengths of both sectors—ranging from resource acquisition to innovative funding solutions—complement each other, often creating greater efficiencies in project delivery, particularly when challenges arise around viability. The key to successful collaboration lies in establishing aligned KPIs from the outset, ensuring that both parties understand each other’s goals and objectives, and fostering a framework where these aims can be harmoniously integrated.
Hospitality Investor: What role do you believe infrastructure development, such as transport hubs and public spaces, plays in the success of real estate projects?
Niamh O’Connor: Infrastructure development is vital to the success of any real estate project and must be thoughtfully considered from the beginning. Transport hubs lay the foundation for long-term sustainability, while creating jobs that, in turn, attract residents to the area. Public spaces are equally pivotal, enhancing the overall quality and appeal of a location. Ensuring these spaces are accessible to all demographics fosters a sense of inclusivity and strengthens the community fabric.
Hospitality Investor: How do you ensure that infrastructure projects align with the needs of both the local community and the investors' expectations for returns?
Niamh O’Connor: At Summix Capital, we prioritise early and meaningful engagement with the local community to fully understand their needs, ensuring these insights shape the foundation of the project’s design. By consulting with the community at the outset, we can identify potential concerns and address them proactively, fostering goodwill and building trust among all stakeholders.
We believe that creating a sense of place from the very beginning, through high-quality amenities and thoughtful design, not only enhances the livability of a development but also generates long-term value. This approach consistently meets—and often exceeds—investors' expectations by delivering sustainable, commercially successful projects that integrate seamlessly into the local fabric.
Hospitality Investor: What are the biggest risks when investing in a development that relies on public infrastructure, and how do you mitigate those risks?
Niamh O’Connor: Funding uncertainties and shifts in government policy are two of the most significant risks when investing in developments that depend on public infrastructure. The private sector often relies on the public sector to deliver or finance this infrastructure, and the lack of control over the delivery timeline makes it challenging to account for time-related risks. Building strong stakeholder relationships and having multiple delivery strategies, such as phased development options, can help mitigate some of these risks. However, it remains difficult to fully de-risk such projects when dependent on an external party.
Hospitality Investor: How do you see emerging trends like sustainability, smart cities, and digital infrastructure shaping the future of urban real estate developments?
Niamh O’Connor: From Summix Capital's perspective, sustainability is an essential, non-negotiable factor shaping the future of all real estate developments. Both investors and end-users are demanding greener, more energy-efficient buildings, driven by a growing awareness of climate change and the increasing costs of energy. Investors, particularly those managing 'Green funds' or focused on ESG criteria, are prioritising projects that meet high environmental standards and offer long-term value.
The rising demand for sustainable developments is also fuelled by an increasingly climate-conscious younger demographic, whose preference for eco-friendly, energy-efficient homes aligns with global trends towards reducing carbon footprints. For Summix, integrating energy efficiency, renewable energy sources, and sustainable materials into our developments is key to ensuring future-proof, high-quality spaces that meet this growing demand.
Incorporating smart city technology and digital infrastructure further enhances the ability to deliver developments that are both sustainable and adaptable, allowing for real-time energy management and improved connectivity.
Hospitality Investor: The theme of this year's event is ‘Proven Paths, New Horizons’. Is there anything that has changed recently with your strategy?
Niamh O’Connor: At Summix Capital, while the core principles of our business model remain unchanged, we have refined our strategy to focus on larger, more strategic sites that allow us to deliver greater value to the communities we develop. We believe that by working with larger footprints, we can provide not just housing, but the social infrastructure and public spaces that truly enhance the quality of life for residents. These sites offer the opportunity to create diverse residential offerings across various tenures, ensuring we meet the growing demand for more inclusive and affordable housing options.
In addition, larger developments enable us to incorporate complementary commercial uses that support local employment and services while also offering extensive public realm that are integral to community building. This approach allows us to shape developments that are not just functional but transformative —delivering places where people can live, work, and play.
Unlike smaller, more constrained sites, which often require a compromise on quality or usability, larger projects give us the flexibility to integrate all these elements. By focusing on scale and creating balanced, sustainable communities, we believe we can contribute meaningfully to the future of both urban and suburban development while staying true to Summix Capital’s vision of long-term value creation and positive social impact. This shift reflects our commitment to exploring new horizons while staying grounded in our proven track record of delivering impactful, community-focused projects.