Tag Archive for 'London Property Market'

Westfield London - Part 1

Published
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Property Know Team
on June 11, 2008
in London Property Market
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Surprisingly many people in the United Kingdom do not know about the Westfield Development (The White City Redevelopment). A survey conducted found out that only 52% of surveyors had heard of the development. its surprising because it is going to be one of London’s and UK’s biggest development as of present. The Westfield London is a new and exciting shopping centre development in Shepherd’s Bush, London. The centre is being developed by the Westfield Group, at a cost of an estimated £1.6billion.

When completed in late 2008 the centre will boast a retail floor area of 150,000m². Consequently, it will take the crown of the largest shopping mall in Europe within an urban area from the Manchester Arndale, and be the third largest shopping centre in the UK behind MetroCentre and Bluewater. The completed centre will feature around 270 stores, including House of Fraser, Marks & Spencer, Debenhams, Waitrose, Next and a Cinema de Lux multiplex cinema.

This means that the whole of W12 is currently going being redeveloped to accommodate the shopping centre. New transport links (ranging from; taxi’s, bus stations and underground stations) are being built and refurbishments of general public areas. This is a joint effort between the Hammersmith and Shepard’s Bush Council and The Westfield Group. Planned completion is by October of 2008.

Our full views on the impact on surrounding Property Market post completion will be in Part 2, next week.

The Financial Hub And Property Prices

Published
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Property Know Team
on June 2, 2008
in Property Know
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A visitor site posted a comment on the article (London Property Prices: Are they dropping?), about our views of why the London Property Market is still strong and why it will always be.

“London is the financial heart of the European Union (EU) and capital of one of only four trillion dollar economies in the EU with an infrastructure to match. The business infrastructure is being improved even further, because of London being selected as the venue for the ultimate global sporting occasion.”

So we are going to expand on the comment raised, and look at several points on why London is a financial hub. We will cover the “ultimate global sporting occasion” i.e. the Olympics 2012 later. London is one of the worlds Financial Hubs, even though there is a big uproar about the credit crunch and fears of a looming recession. Estate Agent Savills, estimates that £2 Billion will be spent from the “City Crowd” for 2008. This means that desirable areas in London such as South Kensington, Kensington High Street, May Fair etc will still be in high demand, even though there is a great deal of speculation and dropping property prices with the overall UK Property Market.

London has become a strong financial hub in the EU, due to its strength in Banking and Finance. Areas such as Canary Wharf, and more traditionally “The City” (Bank, Liverpool Street etc) have been centres of Banking and Finance for decades. And with the strength and stability of the UK Sterling (£) it has many advantages over other countries when it comes to the Exchange Rate and Forecasting.

Looking at London, and why companies like to conduct most business in London. We are going to take a simple look at Time Zones. The world has now become so small and to do business internationally is becoming increasingly easier. London is GMT (Greenwich Mean Time), and if a business has to call Asia it is only 6-8 hours ahead and if the company has to call North America it is only 5-8 hours behind. However if you are in Asia and want to do business with North America, it is roughly 12 hours ahead/behind - and vica versa. So if you wanted to contact your business associate in Asia and you were in America at 9am, that would mean that you would have to be in the office at 9pm however if you were in London/UK you would have to be in the office at 2pm-4pm, which is within normal working hours. Something as simple as that has a big impact on why many companies want to base their Head Quarters in London.

London Property Prices: Are they dropping?

Published
by
Property Know Team
on May 25, 2008
in London Property Market
. 2 Comments

There is currently a great amount of speculation in the London Property Market. Will it drop? Has it dropped? Is it dropping? In short the answer, is yes - certain parts of London have dropped in price, however Central London prices will hold strong.

Following up from a previous post “30 Year Low for Property Sales” talks about property sales in the UK dropping and that asking prices have had to been dropped. And we at the London Property Market side, completely agree.

We have always held to the opinion that the best place to invest is in Central London (places such as South Kensington, Queensway, Notting Hill Gate, Knights Bridge, Regents Park, St Johns Wood etc). If you look at that specific part of Central London, the prices have not changed much compared to the rest of the UK and Greater parts of London.

Why is that?

Lets look at the Supply and Demand, in Central London it is a known fact there is NO MORE LAND to build property on. So supply will pretty much or less stay the same, however demand will always increase (due to population growth, it is Central London where people want to live, Foreign Investment etc). So even if there is a dip in the local economy, there will be foreign investment to pump into the London Property Market. Demand will be increasing, and supply will stay the same - hence prices will increase! The hardest thing in buying in Central London is that the “barriers of entry” are extremely high. To get a decent 400-500 sq/ft 1 bedroom apartment, you will most likely be looking for a minimum of £375, 000 and go up to well the millions!

How about outside Central London?

The problem about outside Central London (mainly Zone 2 onwards) is that there is still Land to develop properties. Lets take Canary Wharf for example, which was a “boom” zone for buyers and investors. But if you look at the Canary Wharfs Property Market, owners are having problems to cover their mortgage payments and value of their properties are depreciating! And why is that? There is so much development that supply in Canary Wharf keeps on increasing - so it can meet demand. So prices are either stable or going to decrease due to Supply over lapping Demand. This is the current situation.

So just be very careful when you invest in property at the moment. The markets are soft in many areas in the UK, so you will have more chance of getting a good deal. In Central London, throw a bit more caution.

All the best!

Pimlico A Hidden Gem in London

Published
by
Property Know Team
on November 13, 2006
in London Property Market
. 1 Comment

IS this true? A Hidden Property Gem in Central London?

Destination: Postcode SW1 and Traditional Stucco Mansions – Pimlico
Public Transport: Pimlico Underground Station – Victoria Line

Pimlico is situated right next to Belgravia and Westminster, and is often overlooked by many property hunters for reasons that remain unknown to the Rent A Home London Team. It is on the edge of Zone 1 on the Victoria Line, and is blessed with the waterfront of the River Thames. Its close link to the Victoria Underground station, provides it with easy access to Victoria Coach Station and Train Station – which both provide Public Transport to all areas of the United Kingdom.

Pimlico is an ideal location to live in Central London, especially since it is still undervalued. It is not a sought after place by many of the high flyers, because it currently does not have the reputation of the likes of Chelsea, Fulham, Notting Hill Gate and so on. The area is roughly delimited by Victoria Station to the north and the River Thames to the south, spanned by Vauxhall Bridge, which allows ready access to Vauxhall. The entire district was formerly owned by the property owning Grosvenor family.

Pimlico’s most famous attraction is the Tate Britain on Millbank. This is the original Tate Gallery and is home, as the name suggests, primarily to art of specifically British origin. The district’s association with fine art has been reinforced by the Chelsea College of Art and Design’s recent move to the former Royal Army Medical College next to the Tate. This has also had the happy result of opening up the spacious college quadrangle so that the three extensive and elaborate red brick college blocks can be appreciated.

One set back is the lack of shopping areas available to Pimlico, however since Public Transport is close by, it is very easy to take the London Underground to Oxford Circus or other shopping areas nearby.

“Developers are hastily converting townhouse offices into flats and two large new developments are pencilled in for the southwestern corner: Grosvenor Waterside, ritzy apartment blocks built round an old dock, and Chelsea Barracks, which developers are now fighting over. These developments will blur the border between Chelsea and Pimlico. Typical buyers at the moment are “City workers in the second salary tier”, says Dawes. “Those with seven-figure bonuses still chase places like Notting Hill because Pimlico isn’t fashionable, but it will be in about three years. It’s the next hotspot.”

“Everyone agrees that Pimlico prices will keep rising. “We’ve lots of investors who can’t believe how cheap it is, when it’s so good for commuting to the City and has great infrastructure,” says Dawes. “Pimlico has further to go in terms of prices than Belgravia,” says Young. The area is brilliantly situated, with Tate Britain, the Thames, Kings Road and Belgravia’s Elizabeth Street shops within a short walk. Victoria station serves Kent, Sussex and Gatwick as well as Oxford Street and the City. Politicians can nip to Parliament within the requisite eight minutes when summoned by the division bell.”

http://property.timesonline.co.uk/article/0,,14050-2443923,00.htm

London – Property Market News

Published
by
Property Know Team
on November 9, 2006
in London Property Market and Property Know
. 0 Comments

london westminster

London – Property Market News

The Property Know Team Formerly the Rent A Home London Team; has randomly composed some interesting facts about London’s Property Market and Property News in general.

Did you know – that in FIVE (5) years from now, the average home will be £400, 000. Well that is for London only. Currently the average house price is £330, 000. Also the London Housing Federation are predicating that in five years time, you will need a salary averaging £80, 000 to get an “average” mortgage! For your information: The average house price is calculated from the average from the; average price of a detached house, a semi-detached house, a terraced house and finally flats/apartments.

Do you watch Location, Location on Channel 4? Well from their Best and Worst Places to live for 2006 – London’s boroughs/areas scored the highest for, unfortunately, the worst places to live! Hackney came first, and tower Hamlets came second and Islington came fifth! So think twice – if you are planning to move there!

To have an atheistically pleasing bathroom or a new kitchen or not? Well in the view of the Rent A Home Team – we have always thought that it would be more beneficial and cost effective to either expand your property, by creating more space or adding another room (loft conversions etc). They both roughly cost the same price, and we all know that the more rooms the more expensive the property. A One bedroom house or a Two Bedroom house? You tell us! So do not jump into renovations, and calling your local builder to fit a new kitchen or go on a spending spree in B&Q or Homebase. You might splash around £2000 - £4000, and chances are in proportion of what you spend is what the increase in value will be! On the other hand – if you add another room you will hit the jackpot!

Sources: http://www.housing.org.uk/regions/aboutus.asp?region=4 & http://news.bbc.co.uk

London’s Elektron Towers

Published
by
Property Know Team
on November 5, 2006
in Property Know
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Remember the articles about the “Sky Towers in Canary Wharf” and about “London and the Olympics 2012” – if you don’t you should go and have a quick skim read through them because, this article directly follows on what has been mentioned and its impact to the London Property Market - especially with regards to Canary Wharf.

What we will be talking is the launch of the West “Elektron” Tower near Canary Wharf.

london-property-development

The Elektron Development site is situated on the north side of the river Thames directly opposite the Millennium Dome. The London Property Development headed by Barratt’s Homes will encompass 3 towering 25-story blocks. Currently all of the Phases of the first 2 Tower Blocks built are now sold out. Barratt’s have now announced the launch of the “West Tower” and yes that means it is the last one and the final phase!

1 Bedroom apartments are going from £219, 995 – and for the current London Property Market it is affordable compared to many other areas.

Transport wise the Elektron has easy access to the “East India” Docklands Light Railway Station, which is only 4 DLR stops away from Canary Wharf and 1 DLR stop away from the Jubillee London Underground Line.

london elektron

In our opinion (emphasis again, in our opinion) we believe with all the regeneration projects surround Canary Wharf and the East of London, it may be worth a visit to the Elektron and surrounding Property Developments. As first time buyers the properties are reasonably priced especially for its area; and for investors this may be that ideal property investment that you were looking for.

Good luck!

Images are taken from the Barratt’s Website www.barratthomes.co.uk

Problems for London’s King’s Cross

Published
by
Property Know Team
on November 2, 2006
in London Property Market
. 0 Comments

London’s King’s Cross is a major Railway Hub for the North of England. Combined with Euston, St Pancras and King’s Cross they all cater for the National Rail Trains going up to places such as Manchester, Birmingham, Sheffield and yes – all the way up to Edinburgh, Scotland! King’s Cross is just on the outer rim of the London Transport Zone One (1) which makes commuting relatively easy with the Piccadilly, Northern and Victoria Underground Lines all going through King’s Cross.

For those who do not know London’s King’s Cross is currently going through a major regeneration project. Actually a really big transformation costing a hefty £2 Billion! The King’s Cross Railways Land project is currently in doubt, due to a miscommunication between the local community.

The property developer Argent, had a proposed plan which included 44% of affordable homes. Of the 67 acres that the Argent Scheme is meant to cover that is a great deal of affordable housing already! The 67 acres includes conservation areas and listed buildings, and it was given permission by Camden Council!

BUT now the £2 billion transformation of King’s Cross may have hit a minor delay! Why? The Local Community are complaining that they were not informed about the change in the percentage of proposed affordable housing, from 44% to 50%! So the overall 6% of the 67 acre land to provide London with affordable housing! This is only a hiccup on behalf of the King’s Cross Railways Land Project, and hopefully it will be resolved soon!

As a £2 Billion regeneration project with 50% affordable housing seems good to the Rent A Home Group and in fact that should apply to anyone who is out there looking for properties in the already expensive London Property Market!

Excuse the pun, but yes – the project won’t be “derailed” – it is only a minor delay! So keep your eyes out for those affordable houses in King’s Cross!

London King Cross

Spotting Potential in London

Published
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Property Know Team
on October 30, 2006
in London Property Market
. 0 Comments

Don’t be too scared to buy in areas that may currently seem less desirable at the moment in time, especially in London. There are rough areas and places in London that are currently run down, but hopefully due to regeneration projects will slowly pick up in value. So keep an eye on the London Property Market properly and you maybe able to see these areas. At the Rent A Home London Team, we believe that Stratford and East London are up for a huge revamp that will effect the property prices! (Again, just to cover our backs – it is only our opinion!)

I mean lets take for example Notting Hill, now currently one of the most sought after places for the young and rich to live! I mean, it formerly used to be a down-at-heel ghetto, now a trendy upmarket one, Notting Hill is a vibrant and bohemian area. Properties include grand family villas and stuccoed terraces, lots of conversion flats, council properties, and sizeable enclaves of housing association properties.

Forty years ago Notting Hill was a notorious ghetto populated by poor immigrants and driven by racial strife. But a steady process of gentrification has transformed the area - residents from the old days would say for the worse - into one of the trendiest and most fashionable in the capital.

Prices have risen sharply in response to an influx of luvvies, media folk, politicians, and wealthy City types who flock to its stylish restaurants and up-to-the-minute watering holes. But despite this the area remains socially diverse and multiracial and still retains its vibrant street life and bohemian atmosphere. The bustling, pleasantly scruffy Portobello market attracts thousands every weekend in search of an elusive bargain, while the annual carnival, once a flashpoint for racial conflict, is now a well established celebration of multicultural Britain. A gastronome’s delight, Notting Hill is home to Books for Cooks and an extensive selection of restaurants offering cuisine from every corner of the globe.

Properties include grand family villas and stuccoed terraces, lots of conversion flats, council properties, and sizeable enclaves of housing association property. Nearest tubes Ladbroke Grove, Latimer Road (Hammersmith); Notting Hill Gate (Circle, District, Central); Westbourne Park (Hammersmith).

There are probably many of us who dream to own a property in that area of London, but can currently only dream of that for now! So remember do not be too discouraged when looking at areas that may currently seem less “desirable”, sometimes you have to look more into the long term scale of things. Rather going for short term returns, think more of a long term game - take it like a marathon.

So all the best! Keep your eyes out for those properties in London!

Wood Wharf - another Canary Wharf?

Published
by
Property Know Team
on October 27, 2006
in London Property Market
. 0 Comments

Following up from the previous post on the developments that will hopefully be booming forth from Canary Wharf comes Wood Wharf. Situated right next to Canary Wharf, it seems to be part of the expansion plan that the British Waterways Company have to the East of London. The plan is to turn the 20 acre Wood Wharf into an additional North Eastern Corner of the Isle of Dogs.

Just like Canary Wharf, Wood Wharf was historically used for the shipping and storage of cargo, for Wood Wharf’s case it was Timber.

So what do the British Waterways Company want to do with Wood Wharf?

Since they have the freehold of Wood Wharf, they can pretty much or less do what they want! But as wise budding property investors they are planning it to be another extension to Canary Wharf. A complete re-haul of the place and turning it a big regeneration project. Unlike some Property Companies, they are looking more towards a long term strategy and are weighing up the pro’s and con’s of developing certain properties.

Their main goals are to provide:
• New Employment Opportunities
• New Secure Places to live
• Enhance and preserve the water space in the surrounding area
• Create new community facilities and retail/leisure services

What have they come up with?

British Waterways Company are calling in “The Master Plan”. With the aim of creating; 3.4m square feet of commercial floor space, 1,500 new homes, open public space and a new canal bisecting the site.

So keep your eyes open for Wood Wharf. This is all planned to be completed by 2011, a year before the Olympics come to London.

Property Life Outside Central London

Published
by
Property Know Team
on October 19, 2006
in London Property Market
. 0 Comments

Yes, believe it or not there is property life beyond Central London. Outside “Zone 1” of the Public Transport Zone in London, a great deal of what is considered London Property Market Growth is starting to slowly bloom. Places such as Dartford, Croydon, and Blue Water which are only 20-30 minutes away from Central London are starting to go with the flow and have started to have build their own “exclusive” Property Developments. This means slight lower prices due to its location, however a compromise for a train journey away from Central might be just worth it. If you see the plans for Dartford;

The Bridge, Dartford

One of the county’s most innovative developments, The Bridge, is now underway following a Development Agreement between Dartford Borough Council and ProLogis Developments Ltd. The project will see the old Joyce Green Hospital and Littlebrook Lakes site at north Dartford transformed into a new and vibrant community. The Bridge will encompass 1,500 high quality homes, a science park with innovation centre, business park and a ‘primary school of the future’ at the heart of the new residential area.

George Wimpey plc will be developing the first phase of 1,100 homes over the next seven years, which will be set among the existing environment of mature trees and water ways. ProLogis, the world’s largest distribution company, will be at the helm for the office, industrial and distribution development.

The 264 acre project will also be a vital link in the new Fastrack transport system, which will connect Dartford and Gravesend town centres with Bluewater, Darent Valley Hospital and Crossways Business Park. A new bridge is to be constructed over the M25 to provide a Fastrack route between Dartford Station, Temple Hill and The Bridge to Crossways.

The Area for Regeneration
kent-dartford-the-bridge

A nice River Side Estate coming in. It has the similarities of the Properties Developments surrounding ExCel near Canary Wharf. So don’t just limit yourself to Central London because you can easily get great returns on Properties outside Central London. Especially if you are a first time buyer it may be in your interest to look outside Central London.

All the best!

Source: http://www.kentpropertymarket.co.uk/regeneration/thameside.htm