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Michael Kingshott Steers Serviced Office Group to Greater Highs

by Jo Meunier
September 24, 2012
in Business
Reading Time: 3 mins read
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Michael Kingshott, MD of the listed Serviced Office Group and former founder of 1980s ferry company Sally Line, is steering the UK-based serviced office company to ever greater highs.

Having initially found fame within the ferry industry, Kingshott has been involved in property for more than two decades. In the early 1990s he helped to rescue property firm Skillion from administration, which went on to re-engineer £40m of property assets into industrial and office space. Skillion later sold a number of its commercial properties, some of which formed the foundation of UK serviced office company Bizspace. Kingshott went on to found Serviced Office Group with business partner Sir Tom Farmer in 2004. Today, the company is riding the waves of success. It opened its flagship business centre in Covent Garden in February (pictured), and recently announced that demand was booming – with occupancy rates across its 23-strong portfolio continuing to rise. A deal with BT for 3,000 sq ft at their Lower Thames Street EC3 centre rounded off a successful summer.

But the past year has been particularly demanding for Kingshott in more ways than one. A bad fall in November 2011, in which he fell down a flight of 18 stairs, left him barely able to walk with a shattered lower leg, dozens of pins and a delicate metal cage to assist the healing process. The accident and ensuing recovery process has caused him untold pain; but as Kingshott told Property Week, it led him to re-evaluate his business strategy and seek new opportunities in an otherwise bleak situation.

“I started my business career many years ago in the insurance risk business,” he said. “That valuable period of my life taught me that, amid any adverse effects, there is opportunity. My accident last year shook me into assessing my role and my focus within the company.”

One hidden opportunity surfaced when Kingshott’s management team had to take on greater leadership duties. This enabled him to place more trust in his team and realise that the company is “no longer a one-man entrepreneurial company” – but one with a highly capable team and an experienced board.

During his convalescence, Kingshott re-assessed the direction of Serviced Office Group. “We already had solid foundations within the serviced office sector, but I believed we could do more with the skills and expertise we have within our facilities management and IT departments.” This was partly driven by cost, as the challenging economic climate has naturally created a highly cost-conscious attitude among business professionals.

Kingshott identified that the company could improve their offering – and save money – by moving away from mainstream furniture providers. By working closer with manufacturers in locations such as China, he now creates his own furniture at better rates, allowing the company to pass the savings back to their clients.

Kingshott is also working with landlords that want to renovate tired office buildings. “The commercial property market needs to constantly evolve to survive,” he said. “Landlords want advice on how we can revitalise their buildings, and not only increase yields, but make them more ergonomically business-user friendly.

“It is amazing how a change of light on a particular aspect can make the working environment completely different, or how features such as Wi-Fi will make the cost of cabling buildings obsolete in the future. Landlords are waking up to the fact that taking care and paying attention to their buildings will help to enhance their future value.”

No stranger to success, the former ferryman certainly has his focus firmly set on the future. And as the company’s success rate shows, far from being on choppy waters, it’s full steam ahead for the enterprising Serviced Office Group.

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Jo Meunier

Jo Meunier

Jo is Allwork.Space's Senior Editor for the UK and Europe. Jo has worked within business centre and coworking circles since 2009, researching and contributing written features for numerous industry publications. She reports on the latest market news and delves into local issues with one main objective: to champion the flexible workspace industry and its members.

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