David Barnett's review and predictions for the London property market
I sat down last week with our CEO David Barnett and he gave me some of his opinions on how the property market performed this year and what he thinks is going to happened next year. I thought I share this with you.
How has London performed in 2012? How did the year feel to you?
In our opinion London continued to perform and hold its status as one of the world’s capital city. The London residential market has remained rock solid and continues to grow. At Londonewcastle it was the first year we felt ourselves pulling away from the chaos of 2008.
What were the key events/ issues/ drivers and will they continue to impact the market in 2013?
The major piece of regeneration was by far the London Olympics. Its features enhanced London’s position - not only as the world’s capital but as a capital that goes through a huge transformation. The Olympic legacy will enhance London over the coming year. Not only did it impact the sporting sector but the housing prices around the area it also initiated large scale infrastructure projects, improvements to transport links, shopping facilities and local amenities, which has transformed previously neglected neighborhoods making them more desirable.
Olympic Park
What did LN do / how did you find it?
We had a successful year of gaining/ planning consent and are looking at a number of really exciting projects across London. The Dollar Bay development in Canary Wharf for which we obtained the planning permission in March is a 31-storey luxury residential tower with 185 units.
Just recently we received the planning permission for Kelaty house in Wembley. Located directly opposite the Wembley stadium the development will comprise of student accommodation with up to 599 rooms and 198 room hotel (total GEA of approx. 400.000 sq feet).
What do you think will happen in 2013?
We think the London pricing will be stable with certain increases in London’s prime postcode areas. The planning system will remain an obstacle for the delivery of housing.
What’s in store for LN in 2013?
We are looking to complete a number of major acquisitions. Most importantly, a further 300 000 sq feet development been submitted to planning in key 1 2013.