London: The Haven of Commercial Property Investments

London: The Haven of Commercial Property Investments

updated October 25, 2017

London is one of the top cities that drive investors from around the world. People who want to start a business, or reside in a metropolitan city, London is one of their first options! A report by Ernest and Young showed that between 2010 and 2015, commercial property rents in the capital rose by an average of 70%.

The report concluded many results, two of them were quite interesting: the first one indicated that commercial property has become one of the most rewarding investments in the UK. The second noted that some businesses have gone into the search of cheaper options in other areas in London, creating what is called “hubs of the future”, areas similar to Shoreditch which is in proximity to the Silicon Roundabout, the third largest technology district in the world.

The report also added that: “Previously, new serviced offices tended to be focused at Docklands, Holborn and Southbank, but our research shows an increase in serviced office transactions across all parts of London in 2015, particularly in Farringdon and Shoreditch.” Shoreditch has witnessed a 181% growth in rent from 2010 to 2015 making it a potential target to investors.

London’s property market is always evolving, it is a haven for investors. The landscape of the city keeps developing, some areas are going through a regeneration phase. Haringey is a solid example to the regeneration era some areas are witnessing, the economy is growing, the community is flourishing making it a place of “Great Opportunity”. During our official launch event, Cllr Stephen Mann, the Mayor of Haringey, was quite keen on supporting WorkSpace Commerce’s efforts as he believes The Hale facility will be an essential factor in the potential growth of Haringey. “I think there are a lot of people who run their own start-ups and their own business. They work from home while others travel to London; so I think what it [WorkSpace Commerce] will add to Haringey is to provide people with somewhere to work outside their home where they do not have to go to London and I think this is fabulous.” he added.

Despite fears that followed Brexit, reports show that there has been quite a demand on commercial properties in London. Business insider has reported that: “In the first six months of 2017 Chinese investors spent 3.96 billion pounds ($5.10 billion) on London commercial property according to data from the CBRE real estate group, the highest amount on record and outpacing the 2.69 billion pounds spent in the whole of 2016.”

When choosing your future commercial property to invest in, look at the location and the surrounding area. There are so many areas that are evolving across London that are already attracting investors from around the world. Part of Shoreditch is an area called Hoxton, this area has already transformed into an actual future hub.

What is great about London, there is not one location or option that you can consider, the city is very diverse and develops itself around the clock making it a great opportunity to invest in.