John McCready is to leave his post as a senior partner at Ernst & Young at the end of the month to head the government's newly created Property Unit of the Shareholder Executive (see our article in July).
McCready's appointment and the creation of the new unit mean that, for the first time since the property services agency was disbanded in the early 1990s, a "joined-up" approach to managing its property assets is within the government's grasp.
The need for the creation of the property unit was a recommendation of the operational efficiency programme endorsed by the April budget. It is being established in order to help government departments and the Treasury to maximise value from the government's property portfolio, which has an estimated value of £370bn.
The property unit's scope will take in central government offices, operational buildings such as those of the health service and defence estate as well as local authority property excluding council housing.
Its role will include reviewing strategic options and examining the different property models outlined in the Smarter Government document published on 7 December.
John McCready
The property unit will also help government departments and local authorities to improve property management and identify assets for disposal and, where necessary, help with those disposals.
It will also help the Treasury to manage property better, a task which will extend to devising incentive structures and financing options.
Considered alongside the November appointment of quantity surveyor Paul Morrell as the government's chief construction adviser, the appointment in July of Vice Admiral Tim Lawrence, as head of the Government's Property Asset Management Profession and the inclusion of property in the Smarter Government initiative launched earlier this week, McCready's appointment seems to indicate that property is gaining more elevated status in government perception.
There was, however, some surprise in the property industry that the government had turned to one of "the big four" management consultants to find a property chief. However, McCready has been head of the housing and regeneration team at Ernst & Young.
Prior to that he worked at Blue Circle Industries where he was chairman of the disposals group during the takeover by Lafarge. He has also been chief executive of Whitehall Properties and Bluewater Park and has worked for the bank Goldman Sachs.
