Major regeneration plans, significant transport upgrades and Brexit uncertainty mean that London’s property market continues to evolve at pace. And despite the current challenging environment, there are four pockets within the UK’s capital that have great potential for strong growth.
First is Tottenham, in North London. Haringey Council, the London borough authority that controls Tottenham, recently signed a development agreement at the end of 2017 with Lendlease for a £1 billion (€1.13 billion) regeneration project of High Road West, a major thoroughfare in the area.
The project is set to transform the district into a modern and desirable place to live and work. The plans include improved public spaces, community facilities and a new public square with shops and restaurants. The first phase of construction is set to start this year and is expected to take up to 15 years to fully complete. The council plans to deliver at least 2,500 new homes, of which 750 will be set aside as part of the UK’s “affordable” housing supply. Football team Tottenham Hotspur’s new £400 million (€452 million) stadium development will also be a catalyst for wider regeneration, breathing new life into the area, creating jobs and boosting property prices. Additionally, if Crossrail 2 (a proposed new rail network stretching from the south west of the city to the north) gets the go ahead, then Tottenham Hale station will become a major interchange and quicker commuter times will draw more people to the area.
White City, in West London, has also become an increasingly attractive area. Still cheaper than nearby Notting Hill and Holland Park, the area is undergoing a multi-billion pound transformation and gaining a lot of attention.
The developments in the area include 950 new homes, new grade-A offices, a new Soho House members’ club and hotel, as well as a plethora of restaurants where the former BBC television centre studios once stood. Additionally, Imperial College’s new research campus and Westfield’s £600 million (€678 million) shopping centre expansion will also contribute to White City’s allure as a thriving place to live and work. Hammersmith and Fulham Council also granted permission in early 2017 for 31 unused railway arches near Wood Lane tube station — just around the corner from the former BBC Centre — to be opened for commercial, leisure and retail use, additionally revamping the area.
If we look towards the east, Barking and Dagenham is the only London borough where average property prices are less than £300,000 (€339,000). This is especially attractive for people looking to purchase their first home following the recent abolition of stamp duty for first-time buyers on purchases of up to £300,000 (€339,000). Average house prices in the area rose by 2.5 percent during the year, which is slightly higher than the annual rise of 2.1 percent across London. Homes in neighbouring boroughs of Bexley and Havering are of similar prices and have experienced growth above London’s average.
These areas have outperformed the more expensive inner boroughs as buyers have moved farther out in search of more affordable housing. Barking is also benefitting from regeneration with shopping centre plans approved in 2017 for the transformation of its town centre, from where workers can reach the City of London in 25 minutes on the Underground.
Lastly, the area that stretches from Elephant and Castle down to the bottom of Old Kent Road in South London continues to undergo significant regeneration.
In particular, Elephant and Castle is part of a £3 billion (€3.4 billion) regeneration project that is expected to boost Southwark’s economy. The plan includes a new shopping centre, a new northern entrance hall at the Tube station and 979 homes. The borough will also benefit from an extension of the Bakerloo line that will incorporate two new stations along Old Kent Road and provide quick access to the West End and interchange stations.
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