Property Focus: The Interview – John Flathers
JOHN Flathers is head of commercial property at Irwin Mitchell in Leeds and has been practicing law for more than 20 years.
He has been praised by Chambers and Partners Directory for his impressive grasp of the law and highly commercial attitude. He specialises in development projects, investment work, secured lending and lease negotiation and strategic land options.
1. What are your views of the current state of the commercial property and property development markets?
The first three or four months of this year were encouraging. I did a number of deals including the acquisition of a large industrial premises and the sale of a high quality investment property to a London-based pension fund.
It all seemed like the “heady” days again. Since the election and the current uncertainty about the impact of the government cuts, the market feels very flat although there are one or two pockets which remain active. In my view things will not pick up until we all fully understand the impact of the cuts and learn to work within the new economic landscape.
2. What key challenges and pieces of legislation do you think will most affect your sector over the coming months?
The empty rates liability continues to have a big impact because it impinges speculative developments. Unless the developer already has occupants lined up it is very difficult for them to justify starting to build.
I also believe that the Carbon Reduction Agenda will have a major impact on the property industry over the coming years so my advice is to prepare now.
3. Why do you think Yorkshire is a good place to do business?
The people here are very savvy – they know what’s involved in a deal and look at the detail particularly where finance is concerned. This realistic and thorough approach gives you a good basis from which to negotiate.
4. What is your favourite building/development in Yorkshire and why?
We might enjoy a friendly rivalry with one of the tenants but I do think the glass clad Princes Exchange in Leeds is a lovely building which would grace any city.
The building was designed by Carey Jones and developed by Teesland in 1999. I remember attending the “topping out” by Kevin McCabe and I recall thinking that this was the most striking design that had gone up in the city for quite some time. If you take time to look at it as you come out of the railway station, you’ll see it is a special piece of architecture and that even now it hasn’t aged at all. The sign of a quality building.
5. If you could improve anything in the region, what would it be?
I’ve always thought the train link between Leeds and Sheffield should be better than it is, both in terms of speed and regularity. You should be able to get between the two hubs of Yorkshire within 30 minutes – it would take so many cars off the motorway if this was improved.
6. What was your first job and how did you enter your current line of work?
My first job came during university when I worked on a strawberry farm firstly picking the fruit and then dealing with the sales and organising the fruit pickers on a daily basis. My father was a solicitor in a private practice so I grew up with the law.
I studied law at the University of Leeds between 1981 to 1984 and got articles in the City of London which was always my intention. I joined Irwin Mitchell just after the last recession in 1992 and I have been part of the growth of a really fine legal practice which is at the cutting edge of change.
7. What do you most enjoy about your job?
I enjoy working on large, complex transactions like the development of Clarence Dock Leeds into 1million square feet of commercial, retail and residential space.
I acted for the trustees of the Royal Armouries and when we won the instruction from Pinsents in 1998 it raised a few eyebrows in the city.
I also enjoy the responsibility of managing a team. We’ve got a very talented group here and I like being able to guide them and help them develop successful careers. Lifting their spirits and constantly looking to the future has been the challenge during this recession.
8. What barriers have you faced during your career and how have you overcome them?
I think everyone comes up with certain challenges – you need to make sure you deal with them with determination and retain confidence in your own ability. I suppose lawyers are fairly driven and I am no different.
9. What is the best piece of advice you’ve ever been given?
My old senior partner in London who I admired as a fine commercial property lawyer told me at an early stage in my career that my role as a lawyer is to advise the client proactively. It is not to “sit on the fence”. This is a culture I encourage in younger solicitors. Be brave and advise but ultimately it is for the client to make the decision based upon your advice.
10. And the worst?
If I have received bad advice then either I haven’t taken it or maybe what originally may have appeared to be bad advice has turned out well in the long run. That’s just life!
