Birmingham is the new London – at least so far as property is concerned
- London property prices fall for 2nd consecutive year (Nationwide)
- Birmingham population to grow by 14.5% by 2041 (ONS)
- Prices and yields combining to make Birmingham the new London (Surrenden Invest)
As a leading property investment company, Surrenden Invest has for years been espousing the virtues of the Birmingham property market. Now, with London house prices falling for the last two years in a row, increasing numbers of investors are looking to Birmingham to be the home of their UK property investment.
According to the latest Nationwide figures, London house prices dropped by 0.8% in the year to December 2018, following a 0.5% fall in 2017. By contrast, the Nationwide figures show a 2.9% increase in house prices for the West Midlands for the year to Q4 2018.
However, it isn’t just because London prices are falling that the Surrenden Invest team are such strong advocates for Birmingham. Indeed, the team was extolling the virtues of all things Brum long before London house prices began to wobble.
“This simple fact is, Birmingham is an amazing city that has an awful lot going for it. Its business community is thriving and there’s a palpable energy when it comes to startups and entrepreneurs in the city. Birmingham’s residents demand the very best, whether that’s cultural attractions, retail outlets or the restaurant scene – and that’s precisely what the city delivers. This is a modern metropolis that is drawing in new residents by the tens of thousands, and for very good reasons.”
According to the latest Office for National Statistics population growth projections, Birmingham’s population is expected to increase by around 166,000 people between 2018 and 2041 – a growth rate of 14.5%. This is another factor driving the new wave of property investor interest in England’s ‘second city.’
One of the leading developments that is rising to meet the surge in demand is the centrally located Westminster Works. Home to 220 beautiful, loft-style apartments, Westminster Works is offering investment from £168,000. The building’s specification and facilities are superb, as befits such a prestigious development in this exciting city.
“With Westminster Works, what we see is apartments and amenities that deliver a new style of urban living to Birmingham’s aspirational, dynamic young professionals. The lively Digbeth location is the perfect site for this leading development, while the impressive roof terrace is a feature of which every resident can feel proud.”
The yields on offer in Birmingham are another reason that attention is moving away from London. Westminster Works offers solid yields of 5.0% NET – something which many developments in London are either struggling or failing to do.
Then there is the overall impact that regeneration work is having on the city. Grand Central’s opening in 2015 marked a step change in the way that many people thought about Birmingham. Now, the £500 million Birmingham Smithfield masterplan, located just behind Westminster Works, is taking regeneration to the next level. Head of city centre development and planning, Richard Cowell, has hailed it as, “an example to international cities,” with residents set to benefit not just from a new market area but from a museum, hotel, culture centres, leisure facilities and a 24-hour gourmet foodie hangout.
“This is the new face of Birmingham – and it’s leaving London looking old and tired. When it comes to UK property investment, Birmingham is the place to be.”
For more information, visit www.surrendeninvest.com or call 0203 3726 499