The property market in east London is being moved forward not by the Olympic Games, but by the improvements that have been made to its infrastructure ahead of the international sporting event. This is the opinion of Liam Bailey, head of residential research at Knight Frank, who explained better facilities and transport links will be what sets the district apart going forward. "Once the Olympics are finished and you can see the Olympic Village being transferred over to housing and so on, then it will become more apparent all of the improvements that are being made there. That is what will drive the market there," he asserted.
Last month, CBRE highlighted the strong interest from international investors in this part of the UK's capital, noting more than GBP 1.6 billion has been ploughed into the area's development by overseas financiers in the past two years. The firm pointed out it is not only new housing that will be delivered in east London, but also more than 3 million sq ft of commercial space. Head of east London at the company Matthew Black commented: "The Olympics is just the beginning, enabling the regeneration of an area that could never have occurred in the present global economic climate." CBRE added international investors from nations such as Australia, Canada, Germany and Qatar have recognised the region's potential and have made real estate investments in this part of London.
Away from projects associated with the Olympics, director of Prickett & Ellis Nigel Ellis highlighted the growing number of developments in the eastern districts of central London where smaller properties are being constructed. He explained these are predominantly aimed at the "lower end of the market at about the GBP 350,000 range". Mr Ellis added that, as there is limited space for development in central London, many schemes are appearing "around the peripheries", but especially in the east of the capital.
- Wednesday 30 May 2012