Sustain
Electric vehicles
Demand surges on
According to a statistical release by the Department for Transport in December 2020, registrations of Electric Vehicles (EV) increased by 171% in 2020. Contrast this with only a 26% increase in new public charging points installed between Q2 of 2019 and Q2 of 2020 and it becomes clear that demand for EV charging points is surging. Some estimates suggest that the we will need as many as 25 million public charging points by 2050 in order to meet demand, and that’s just in the UK.
With the ban on the sale of petrol and diesel engines to come into force in 2030, this surge in demand for EV and charging point infrastructure is likely to persist, presenting a range of opportunities for landowners.
Slow Chargers
Residential and commercial sites are suitable locations to host slow chargers. These typically charge an EV battery from empty in around 12 hours and could be installed on streets and driveways of new residential developments. They could also be installed at commercial property developments such as offices or business parks where employees can charge their EV cars whilst they work. Government grants are available to facilitate the rollout of charging at new housing and commercial developments. Furthermore, it is becoming more common for conditions to be imposed on planning consents to require that EV charging infrastructure is installed as part of the development.
Medium-Fast Chargers
Retail and office space with parking spaces for customers and staff are ideal locations for fast or rapid chargers which can charge an EV battery in one to four hours. Landowners can benefit from income from the chargers (whether it be through owning the charge point infrastructure and selling the electricity, or through leasing space to an installer and receiving a rent) and also increasing footfall at such locations and futureproofing their sites. It is also of benefit to corporate social responsibility initiatives.
Fast/Rapid Chargers
New ‘EV Forecourts’, akin to a petrol station, host rapid charging stations which are capable of charging an EV battery from empty within 30 minutes. Landowners in strategic locations will be able to host such forecourts.
Medium-Fast Chargers
Retail and office space with parking spaces for customers and staff are ideal locations for fast or rapid chargers which can charge an EV battery in one to four hours. Landowners can benefit from income from the chargers (whether it be through owning the charge point infrastructure and selling the electricity, or through leasing space to an installer and receiving a rent) and also increasing footfall at such locations and futureproofing their sites. It is also of benefit to corporate social responsibility initiatives.
Fast/Rapid Chargers
New ‘EV Forecourts’, akin to a petrol station, host rapid charging stations which are capable of charging an EV battery from empty within 30 minutes. Landowners in strategic locations will be able to host such forecourts.
Case study
We have advised a large infrastructure and utilities company on the use of surplus parts of its real estate portfolio for Electric Vehicle use. From the perspective of landowner, we have had an overview of the different forms of operator provisions in leases, as our client went through the process of selecting a suitable operator to place on its estate. We were engaged in reviewing and negotiating the form of operator lease to ensure that it struck a balance so as to be agile and commercially acceptable to the operator whilst preserving a number of operational “red lines” for our client. This letting is the first of a larger scale EV roll out across its portfolio.
