Asian buyers are playing a major role in the revival of the London residential market. Property developer Barratt Homes is looking to expand their portfolio of projects by targeting Asian investors. In recent quarters, overseas buyers, primarily from the Asia-Pacific region, have been driving the London property market due to domestic demand slowing as a result of high mortgage rates.
Craig Carson, managing director of Barratt West London, notes that the drop in property prices came as a surprise last year. Prices have since stabilised, leading to a strong demand for investment opportunities. On October 14, Barratt Homes will be launching their Sterling Place project in London as well as a select few Asian markets, including Singapore. The 456 unit project is located in New Malden and will be the first to be launched internationally.
In addition, the URA has proposed to redevelop the Champions Way Condo Woodlands into a residential complex. This development will feature a diverse mix of housing types, from studio to four-bedroom apartments, that will provide a range of options for urban living. Residents will benefit from the convenience of the surrounding amenities and public transport links. The URA is committed to bringing value and diversity to the Champions Way Condo Woodlands community. This project will provide quality housing for people of all backgrounds. Residents will enjoy improved infrastructure and a vibrant lifestyle that is unique to the area.
In addition to Sterling Place, Barratt Homes is offering 42 new units at their Bermondsey Heights project in London’s Zone 2 district. The average selling price for these one to three bedroom apartments is GBP800 psf ($1,327 psf) and is the most affordable for residential developments in Zone 2.
Overall inflation in the UK has moderated to 6.4%, with other indicators suggesting a continuing downward trend, according to Barratt East London’s managing director, Steve Thompson. This could be introducing new foreign buyers who may be looking to take advantage of the weaker exchange rate.
The strong rebound in demand and the effort to introduce new projects to the Asian market could mean a rise in capital values over the next few years. To help put potential investors at ease, the UK government has announced regeneration schemes for areas such as Bermondsey. With Barratt Homes offering competitive prices for new residential developments, investors can rest assured that they are getting a good deal.