If you’re looking to invest in the capital’s post-Brexit property market, you must put location first. With this in mind, Portico has put together a list of 10 new build investor hotspots in London.
The London estate agent points out that new build locations have been specifically created with today’s tenant in mind, so they are usually based near great transport links in a desirable or up-and-coming area.
For landlords, this means that these new build investor hotspots offer good prospects for high rental yields and strong capital growth.
If you are looking to invest in London’s property market, here are Portico’s ten new build investor hotspots:
- Croydon
This metropolitan area is soon to benefit from a £5.25 billion regeneration programme, which promises to transform the town centre. Westfield also has plans to build a luxury shopping centre in the area, which will likely push up house prices, as seen previously in the boroughs of Hammersmith & Fulham and Newham. Tenants will also be attracted to the 14-minute journey into Victoria, making this south London borough an easy choice for renters on a budget.
- Nine Elms, Battersea
Another location that’s benefitting from a multi-billion pound investment scheme is Nine Elms. Named the “next big luxury area”, it will soon be home to a new Tube station, a revamped high street and the American Embassy, which will drive more international workers to the area.
- Canary Wharf
Canary Wharf is one of the most established new build investor hotspots that have sprung up over the last ten years, and has become extremely popular with young professionals working in the business district. It also has one of the capital’s most sophisticated travel hubs, including the DLR, Tube and Thames Clipper river bus services. Furthermore, when Crossrail is fully operational in 2018, the line will provide direct connections to Heathrow Airport and a number of east-west locations – further enticing tenants and investors to London’s financial centre.
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10 New Build Investor Hotspots in London
Bermondsey
Bermondsey has also undergone a positive revival, this time as a result of the regeneration of London Bridge, which has attracted large businesses, such as News Corp, to the area. It is also a foodie hotspot, attracting young professionals and business types to its central location, trendy amenities and contemporary, luxury accommodation.
- King’s Cross
Once an industrial wasteland known for its underground night life, King’s Cross is now a thriving cultural and business community, home to some of the biggest companies in the world, as well as a string of new restaurants and bars, a huge Waitrose in Granary Square and the art installation Pond Club. Google is also currently spending £1 billion on a London headquarters in this trendy location, which will no doubt attract a wave of professionals and continue pushing up house prices.
- Aldgate
Property prices have soared in east London over the past few years, thanks to the impact of the Olympic Games and the resulting gentrification. Aldgate is currently growing in popularity. It is close to fashionable neighbourhoods, such as Shoreditch, and is within walking distance of the City, making it an ideal spot for young professionals.
- Bromley by Bow
Also within close proximity of the Queen Elizabeth Olympic Park, Bromley by Bow offers affordable accommodation, good transport links into central London and an up-and-coming, trendy atmosphere. There is a low supply of luxury rental homes in the area, which means that landlords here tend to generate healthy returns, as well as good prospects for capital growth.
- Dalston
Investors have been queuing up to get their hands on the developments dominating Dalston’s skyline since Boris Johnson re-opened the Overground station, Dalston Junction, in 2010. The line takes residents into Highbury & Islington Rail in under five minutes. The area is ruled by young renters and arty types, who are attracted to the trendy eateries, cool rooftop bars and London Fields to the east.
- Stratford
Although house price growth here has outperformed most of London over the last few years, Stratford still remains affordable for both buyers and tenants, making the area an extremely popular place to live. The near completion of Crossrail will no doubt drive further price rises in this part of east London, giving Stratford the most growth potential of any London location over the coming years.
- Hayes
Crossrail will arrive at Hayes & Harlington station in 2018, which will be key in pulling in tenants and homebuyers looking for affordable homes and access into central London. As well as good transport links, Hayes also offers healthy rental yields, great schools and easy access to the M4, M25 and Heathrow Airport.
Portico reminds landlords that you must ensure all property acquisitions meet your requirements and to take professional, independent advice when considering investment potential.