In an increasingly globalised economy where businesses operate seamlessly across continents and technology has seemingly erased geographic boundaries, one industry remains stubbornly local: commercial real estate. Despite decades of financial innovation and digital transformation, success in property development still hinges on understanding the peculiarities of individual markets—from planning regulations to neighbourhood dynamics to the informal networks that actually get deals done.
Nick Millican, CEO of Greycoat Real Estate, has built his entire strategy around this fundamental reality. Rather than attempting to compete globally, he has become a master of London's complex property landscape, using that deep local expertise to attract and deploy international capital in ways that pure global players cannot match.
"I think it's very difficult to do it remotely. I think some people have managed to do it, but a lot of people who just gone off and bought buildings to different places have maybe not gone as well as they thought they would when they did it," Millican observes, highlighting a contradiction that sits at the heart of modern real estate investment.
His approach demonstrates how local market mastery, rather than geographic diversification, can become the foundation for attracting global capital and achieving sustainable competitive advantage in commercial property development.
The Persistence of Local Markets
Whilst technology has transformed most industries into global playing fields, real estate development remains what Millican calls fundamentally "a local game." This isn't merely about cultural differences or language barriers—it's about the granular, relationship-dependent knowledge required to navigate complex property markets successfully.
Understanding local planning regulations requires more than reading policy documents; it demands relationships with planning officers, knowledge of precedent decisions, and awareness of political dynamics that influence regulatory interpretation. Building effective contractor and supplier networks requires years of testing relationships, understanding local capabilities, and developing trust through successful project delivery.
Even within London, this local knowledge proves essential. Millican recognises the complexity of operating across different boroughs, each with distinct planning approaches, political priorities, and regulatory interpretations. "You have to really justify why you're doing it. It is not just a case that you make a bit more money," he notes regarding Westminster's particularly strict demolition policies.
This borough-by-borough variation means that even extensive London experience doesn't automatically translate across the city. Success requires intimate knowledge of how different councils operate, what arguments resonate with planning committees, and which types of projects align with local political priorities.
Strategic Location Intelligence
Millican's local expertise extends beyond regulatory navigation to encompass a sophisticated understanding of location dynamics and their impact on both tenant attraction and long-term value creation. His approach to location strategy demonstrates how deep market knowledge creates competitive advantages that global players struggle to replicate.
"I think a lot of it is being in a location that has a lot of attractions for people's kind of do after work or before work or at lunchtime or to make their journey and not just about the office, and I think that's a really big drive of people," Millican explains, articulating location strategy that extends far beyond traditional metrics.
The 20 Finsbury Dials project exemplifies this sophisticated location analysis. Located just north of Moorgate station, the building enjoys exceptional connectivity, making it highly accessible from various parts of London and beyond. This location provides easy access to major transportation lines, including the Central, Circle, Hammersmith & City, Metropolitan, Northern, and London Overground lines.
The three-minute walk from the Crossrail station further enhances accessibility, but Millican's location strategy encompasses much more than transport links. "The location of DIALS, combined with its state-of-the-art facilities, positions it as a top choice for businesses looking for accessibility and quality in the heart of London," he notes, demonstrating awareness of how multiple location factors interact to create tenant value.
Attracting Global Capital Through Local Expertise
Rather than viewing local focus as limiting, Millican has positioned Greycoat's London expertise as precisely what attracts international capital seeking exposure to UK property markets. Global investors need local partners who can navigate regulatory complexities, identify optimal opportunities, and execute development strategies that pure financial players cannot manage independently.
The partnership with Goldman Sachs Asset Management on 20 Finsbury Dials illustrates this dynamic perfectly. Goldman Sachs provides institutional capital and a global market perspective, whilst Greycoat contributes local market knowledge, regulatory expertise, and operational capabilities essential for successful project execution.
"We are thrilled to partner once again with Greycoat on 20 Finsbury Dials," said Chris Semones, managing director at Goldman Sachs. "The investment fits into the ongoing trend of transitioning offices from 'brown to green' and aligns with our belief that high-quality and sustainable office buildings in London will continue to enjoy strong demand."
This partnership structure—combining global capital with local expertise—has proven successful across multiple projects. The 2019 joint venture acquisition of Procession House demonstrated the model's effectiveness, with a 16-month refurbishment project achieving excellent environmental standards before successful sale to another investment firm in 2020.
The Joint Venture Advantage
Millican's approach to capital deployment reflects a sophisticated understanding of how local expertise can be leveraged without requiring massive capital resources. "Typically, it's buying property. We do joint ventures on every project we buy, so we're putting in 5% to 25% typically, but we don't manage pool vehicles of investors or clubs like that, so it's always a joint venture with one group," he explains.
This joint venture model allows Greycoat to participate in projects worth hundreds of millions whilst contributing primarily expertise rather than capital. The structure recognises that local knowledge and operational capabilities create value that justifies significant profit participation even with a relatively modest capital contribution.
The model also enables rapid deployment when opportunities arise. Rather than seeking financing for each project individually, Greycoat can leverage established relationships with global capital partners to move quickly when market conditions create attractive acquisition opportunities.
Navigating Regulatory Complexity
One of the most significant advantages of Millican's local expertise involves navigating London's increasingly complex regulatory environment. Planning regulations have become particularly challenging, with different boroughs adopting varying approaches to development approval and environmental requirements.
"It's becoming increasingly hard to get permission to demolish buildings in London. And planning's run on a borough by borough basis, but I think Westminster's probably taken the strongest approach, and it really is very challenging now to... You have to really justify why you're doing it," Millican explains.
This regulatory complexity creates barriers for international investors attempting to operate independently in London property markets. Global capital providers often lack the relationships, precedent knowledge, and political understanding necessary to navigate planning processes successfully.
Millican's local expertise becomes particularly valuable in this context. Understanding which arguments resonate with specific planning committees, knowing how to structure applications for optimal approval chances, and maintaining relationships with planning officers can determine project success or failure regardless of financial resources available.
Building Long-Term Local Relationships
The relationship-dependent nature of London property development requires sustained local presence and consistent engagement with market participants. These relationships cannot be easily replicated or quickly established by external players seeking to enter the market.
"I usually start by discussing the initial concept with a few colleagues to refine any rough edges. After fine-tuning the concept, I move on to researching a test case to validate our approach, ensuring that the idea is practical before progressing further," Millican explains, highlighting the collaborative nature of successful property development.
This local network includes not just formal business relationships but also the informal connections that provide market intelligence, early awareness of opportunities, and access to off-market transactions that never reach public knowledge.
The value of these relationships extends beyond individual transactions to encompass ongoing market positioning and reputation building that creates sustainable competitive advantages over time.
The Future of Local-Global Partnerships
As global capital continues seeking exposure to stable property markets like London, the premium on local expertise will likely increase rather than diminish. Regulatory complexity, sustainability requirements, and tenant expectations all demand sophisticated local knowledge that cannot be easily acquired or replicated.
Millican's model demonstrates how local specialists can create sustainable competitive advantages by focusing on what global players cannot do rather than attempting to compete with what they can do. This approach enables smaller, specialised firms to participate in large-scale projects whilst maintaining strategic independence and operational focus.
Looking ahead, Millican sees potential for extending this model cautiously into other European markets. "I think the obvious one's Germany, just given the status of the economy," he notes when discussing potential expansion, whilst acknowledging that each new market requires building genuine local capabilities rather than simply extending existing operations.
The Strategic Value of Geographic Focus
Nick Millican's approach challenges the conventional wisdom that business success requires geographic diversification and global scale. Instead, he demonstrates how deep local expertise can become the foundation for attracting international capital and achieving sustainable competitive advantage.
His London-focused strategy proves that in industries where local knowledge creates genuine value—particularly those involving complex regulations, established relationships, and market-specific expertise—geographic focus can be more valuable than geographic breadth.
For business leaders considering expansion strategies, Millican's model offers an alternative to the default assumption that growth requires diversification. Sometimes the path to sustainable success lies not in going everywhere, but in becoming indispensable somewhere specific.
In London's competitive property market, where global capital seeks local expertise and regulatory complexity rewards deep market knowledge, Nick Millican has positioned Greycoat not as a small local player, but as an essential partner for international investors who recognise that real estate success still depends on understanding the ground beneath your feet.
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