2012 Annual Review - Campus Living Villages

22 Campus Living VillagesOperational highlightsAnnual Review 2012 23United KingdomHead officeLondon, United KingdomDate of entry into market200—University of SalfordNumber of beds3,23Number of properties2FY12 revenueAU $10.millionNet asset valueAU $62.1millionunited kingdomGary ClarkeChief ExecutiveOfficer, CLVukRob JohnstonGeneral ManagerNadine LeeMarketing DirectorSean McKeownCommercial DirectorRobert MoyleChief Operating OfficerJoanne SextonChief Financial OfficerFinancial performanceCLVuk saw a positive financial yearsupported by strong performance at theUniversity of Salford Student Village, theopening of phase one of the Student Village,University of Bedfordshire and a growingSummer Stays business.CLVuk’s growing success wasreflected in occupancy figures. The newlyopened Fitzroy Court at the Universityof Bedfordshire received over 1,000applications for its 578 bedrooms and100% occupancy was achieved at both theUniversity of Salford and University ofBedfordshire villages.Business performanceFY12 has seen CLVuk furtherestablish itself as a student accommodationspecialist focused on the residentialexperience. CLVuk increased its exposureto the UK Higher Education sector throughattendance at the Association of UniversityDirectors of Estates (AUDE) and Collegeand University Business Officer (CUBO)conferences in April and June respectively.Further exposure was gained at CUBOthrough a presentation on CLV’s benchmarkglobal research project into the factorsthat drive student decision-making inaccommodation. This activity has cementedCLVuk as a quality provider of universityaccommodation, helping to establishrelationships with a number of universitiescurrently reviewing their accommodationstock.As a hospitality and customerservice driven business, our people arecentral to CLV’s success. CLVuk launched itsfirst employee survey in April 2011, resultingin an 84.5% overall positive job satisfactionrating. Following feedback from the survey,a number of new initiatives were launched toenhance internal communication, includinga monthly CEO Bulletin and an Ask the CEOemail where staff can send questions orideas straight into Chief Executive Officer,Gary Clarke’s inbox. Planning began for aHigh Performing Team program which willcommence early in the new financial year.The initiative consists of an external trainingprogram, based on Myers Briggs profiling,designed to increase the efficiency andeffectiveness of team work and enhanceresults across the business.In 2011, a successful workshop wasorganised with 2011 Masterchef winnerTim Anderson, who toured the Universityof Salford, University of Bedfordshire,University of Lincoln and Universityof Leicester to teach students how toprepare quick, delicious meals on a budget.The initiative was well received by bothuniversities and their students.Supporting the success of CLVuk’sproduct was the result of the annualresident satisfaction survey, which showedthat first impressions across all CLVuk-owned properties scored a positive overallsatisfaction rating of 84.3%. Both theemployee and resident surveys comprise avital contribution to CLVuk’s commitment tocontinuous improvement in service delivery,enabling the business to enhance offeringsand better cater to the needs of staff andresidents.Business developmentIn September 2011, CLVukwelcomed double Olympic gold medallistKelly Holmes to open Fitzroy Court, thefirst phase of the new Student Village atthe University of Bedfordshire and CLVuk’sfirst new build project. With its extensivecommunal living spaces, Fitzroy Court setsthe standard in student living in the UK.At the University of Salford, CLVcompleted the acquisition of BramallCourt from the University in June 2012. The346-bed residence, which was previouslymanaged by CLVuk as part of Universityof Salford Student Village, will undergoa £2million refurbishment over the nexttwo years. The refurbishment will includeimprovement of communal areas, theintroduction of electronic swipe cardsand increased CCTV coverage to enhancestudent safety.The year aheadWith the introduction of anincreased tuition fee cap, together withFitzroy Court opens doorsto new residentsthe new ‘AAB’ rules, tighter Border Agencycontrols on student visas and a continuedlack of public confidence in the underlyingUK and European economies, we foreseechallenges in the coming year as thesechanges are digested. Nevertheless, wecontinue to believe in the strong mediumterm fundamentals of the sector and thecontinued growth of the partnership modelin developing and enhancing the UK’s ageingstock of student housing. CLVuk entersthe new year with visibility into a potentialdevelopment pipeline of over 10,000 beds.To support this commitment topartnership, CLVuk recently launched a UKAdvisory Board through which we aim tofurther develop our product and deliver onthe objectives of our university partners.The board is chaired by Malcolm Brown,who has 35 years experience working inhospitality management at Leeds, Leicesterand Loughborough Universities.Another key focus of FY13 isproviding support for CLV’s global programof Operational Excellence. In the UK, thiswill include a commitment to ISO 9001certification, with a target for accreditationat our first site by December 2012 andacross the UK by the end of the financialyear.In addition, we are committed todelivering a Corporate Social Responsibility(CSR) strategy which will enhance deliveryof commercial goals through fair andIn September 2011, CLVuk openedFitzroy Court, the first phase of its£2million investment in student residencesat the University of Bedfordshire. Thenew development, which opened at 100%occupancy, adds beds to the existingCLVuk-managed Student Village.The design of Fitzroy Court isinformed by CLV’s philosophy of creating aplace for residents to live, learn and grow. Twoof the blocks are linked to provide a spacioushotel-style reception and a range of commonfacilities. The area acts as a central point forthe Village community, ensures that residentsare greeted as they move through the buildingto their rooms and provides security and easeof access to Village staff. The common areasinclude a well-equipped gym, games room,TV lounge, quiet study room, e-learning podsand meeting rooms for group study, and aethical working practices, and encourageengagement with the local community. Thiswill include the launch of CLV Communities,a not-for-profit entity which will supportcharities in the communities in which weoperate, as well as fund an accommodationbursary program for CLVuk residentsencountering financial hardship.Following a review of our hospitalityoffering, CLVuk has implemented a new VPlus package which will be trialled over thenext year. V Plus is a premium membershipscheme that provides residents withaccess to events, extensive discounts andmembership benefits. The V Plus programis managed by CLV Plus, a division created inFebruary 2011 to enhance the residential lifeprogram and further develop the SummerStays product in the UK.Over the next year, the CLV Plusteam will continue to generate business forSummer Stays, supplementing academicyear revenue by renting rooms to shortstay guests when residents vacate for thesummer holidays. The program will buildon the success of the 2012 summer, whereCLVuk and the University of Bedfordshiresupported a major London Olympic partnerwith accommodation at the Student Village.Similarly, the University of Salford StudentVillage saw a successful summer as hoststo the National Youth Theatre during itssummer youth training program.demonstration kitchen for cooking tutorials.As a business strongly committedto reducing the environmental impact ofour properties, the scheme is designed tominimise carbon emissions. The buildingenvelope is highly insulated and part of thedevelopment’s energy needs are met byon-site renewable energy sources via acombined heat and power system.University of Bedfordshire DeputyVice-Chancellor (Resources), Donald Harleysays, “We are delighted that our partnershipwith Campus Living Villages has been sosuccessful and that Fitzroy Court is now openfor business. Students staying there can beconfident they are getting the best possibleexperience in state-of-the art facilities.”The second phase of thedevelopment, Wenlock Court, opened inSeptember 2012.