London commercial property market buoyed by foreign investors | 17 January 2013
Foreign investors accounted for £2.2 billion worth of London property deals in 2012 alone, londonlovesbusiness.com reports.
Numerous reports published in recent months have claimed that that overseas investors were the main drivers of investment growth in the London commercial property market during the last 12 months. Now, Knight Frank has put a value on the deals, claiming they could be worth some £2.2 billion to the UK economy.
These figures represent a marked rise on the £1.8 billion recorded in 2011, when just 27 per cent of new property purchases were made by British investors.
During 2012, meanwhile, investors from Singapore accounted for 22 per cent of the London sales market, whilst Hong Kong took a 16 per cent share, followed by China (five per cent), Malaysia (four per cent) and Russia (three per cent). In total, some 52 nationalities bought commercial property space in the capital last year.
Speaking to independent.co.uk of the results, head of UK residential research at Knight Frank, Grainne Gilmore, explained: “International interest in London property is not a new phenomenon, but the economic and financial changes since 2007 have created a fresh model for overseas investment in new-build property.
“Agents report that the appetite for London property remains strong, and there is an increasing interest in London property from a widening range of overseas buyers, especially some emerging economies where economic growth has remained robust during the downturn.”
The views expressed in this post are those of the author and are not necessarily those of Qube Global Software. All facts are verified where possible directly by the author.
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