select
|

FIRST QUARTERLY GROWTH FOR PRIME CENTRAL LONDON RESIDENTIAL MARKET

PGP launches prime London development to SA market

Prime central London residential property prices have recorded their first quarterly growth since starting their slide from the peak of September 2007, rising by 4.3 percent over the past three months and effectively wiping out the falls seen in the first three months of the year, reports Pam Golding Properties (PGP) International Division.


There has been a notable change in sentiment among buyers in the second quarter of this year and pent-up buyer demand, which built up through 2008 and the early months of this year (2009), has flowed into a market that is increasingly short of quality stock, says Simon Gibb, GM of PGP's International Division.


PGP, together with international associate, Savills, UK's major property group, this month (July 20-24, 2009) hosts personal presentations to interested South African investors in Johannesburg, Pretoria and Cape Town, regarding prime central London residential developments.


Says Gibb: "In the first half of this year buyer activity initially picked up in the GBP*500 000-1 million price range, particularly in south west London. This has flowed into the higher price bands, rippling out across wider geographical areas, with areas such as Wandsworth, for example, seeing a particularly strong improvement in market conditions. In addition we are already starting to see properties in the London market swing back from the rental to the sales market as interest in the prime residential sales market picks up from equity rich and foreign buyers. This will help stabilise rental levels during 2010, followed by significant rental growth in 2011.


"For those able to invest at this stage, the financial returns are significant - on average the 10 year growth in the value of UK residential property between 1968 and 2008 has been 170 percent. So over the past 50 years prices have grown on average by 2.9 percent per annum according to the UK based Nationwide Building Society in real ie inflation-adjusted terms each year, and by 40 percent over each decade. By 2019, Savills' long term forecasts suggest that inflation-adjusted, 10 year house price growth should be in line with the longer term 40 percent inflation adjusted average, even if nominal growth is less aggressive than it has been historically. This highlights the potential benefits of buying during 2009 - for those with the funds to do so," says Gibb.


Ahead of the official launch date, PGP and Savills are marketing to the South African market a London development which offers sound investment opportunities for overseas buyers. Developed by Mount Anvil - one of London's premier contractor/developers - 173 private studio, one and two bedroom apartments are being brought to market in a flagship project, 'this space', situated in the Nine Elms area of south London. A conversion of the former Southbank University Building, this landmark development forms part of the regeneration of the Wandsworth Road area in SW8, which is enjoying ongoing investment form the UK and overseas market.


"this space' is conveniently located close to the green areas of Clapham Common, Battersea Park and the River Thames, with Stockwell London Underground station a seven minute walk away and easy access to mainline train stations with links to major stations. Oxford Circus, the very hub of London's trendy West End, is only a 10 minute tube journey away while the city's financial district is 14 minutes.


The apartments, some of which have breathtaking views of the iconic London skyline, have high ceilings and full length windows creating bright, airy rooms, as well as a high standard of finishes. The development incorporates landscaped courtyards, a 24 hour concierge and underground parking is available. Prices are from GBP195 000 for the studios, from GBP230 000 for one bedroom apartments and from GBP330 000 for two bedroom apartments. A GBP2000 reservation fee secures, 10 percent deposit is required on exchange and mortgage finance is available for qualified buyers through the South African offices of Lloyd's TSB.


Meanwhile sales are progressing well at the Chorus development, also well situated - in popular Wimbledon, with only 10 apartments remaining available for purchase, priced from GBP290 000. Purchasers, which include a number of South African buyers, are a mix of owner occupiers and investors. These units offer investors rental incomes of GBP300 per week for one bedroom apartments and GBP400 per week for two bedroom units.






Issued by Gaye de Villiers



  Comment on this Article

  Please login to post comments

Post to my facebook wall
  
2000
Characters remaining


    Latest Property News
    • 22 Nov 2017
      Most people know of the Community Schemes Ombud Service (CSOS) and that levies must to paid to fund its operations. In this article the experts at Paddocks will address some of the issues that are causing confusion.
    • 22 Nov 2017
      While sales have noticeably slowed in most sectors in most Cape town suburbs, the security estate sector in Constantiaberg has bucked the trend by remaining buoyant, with sales by August this year already surpassing total sales in 2016.
    • 22 Nov 2017
      The end of the year is fast approaching, and so are all the travellers, tourists and holidaymakers. For those who live near or own a property in a holiday-hotspot, the festive season also brings with it an abundance of short-term rental opportunities. Its a great way for property owners to make a few extra rand for their own holidays or to put towards their savings.
    • 21 Nov 2017
      The buying process is over, and the moving truck has delivered your household goods to your new property. Now it’s time to unpack and turn your new house into a home.
    • 21 Nov 2017
      When an offer to purchase a property is signed by both buyer and seller, this constitutes a binding agreement or “Deed of Sale” between the two parties. However, in most cases the “standard contract” might not be enough to cover all the specifics pertaining to the sale. The agreement may require some additions or alterations to clauses, which needs an expert hand in the drafting of such
    • 21 Nov 2017
      As more and more South Africans look to invest in property abroad, Spain is offering them one of the best deals in global real estate.
    • 20 Nov 2017
      Since 2012, sectional title complexes have been leading the South African property market, not only in terms of price growth, but sales volumes as well. Remaining relatively strong, even in the face of 2017’s political and economic turmoil, experts say this market segment could offer valuable insight into South Africans’ property purchase priorities.
    • 20 Nov 2017
      Regardless of whether you are purchasing your first start-up home, downsizing or moving in with roommates, finding ways to maximise small spaces can be a big advantage, says Adrian Goslett, Regional Director and CEO of RE/MAX of Southern Africa.
        
    X
    Subscribe to the MyProperty Newsletter

    Name  
    Last Name  
    Email Address  
    Email Frequency
    select
    X
    Share this Page

       
    For Sale Property
    Rental Property
    More Options
    About
    Connect with us
    FEEDBACK