The summer has finally arrived and with it traditionally comes the busiest time for Canary Wharf estate agents. Short lets have been particularly strong this year with a mixture of holiday lets and corporate clients accommodating employees from overseas. Short lets are a win-win for landlords and tenants. Landlords benefit from 50% higher rent than an equivalent long let and tenants benefit from it being much more cost effective than an extended hotel stay.
The lettings market is experiencing a shortage of supply with continuing completion delays on some new build apartments due to restrictions on finance. This is causing rents to rise in the short term and may lead to sustained price rises over the coming year.
Another factor affecting the supply of rental units is the increasing number of investment landlords choosing to sell apartments rather than re let. With the abolition of Home Information Packs (HIPs) it is now easier for landlords to test the market since they only need an EPC in place to market their property for sale. We are seeing an increasing amount of stock coming onto the market for sale without an increasing number of buyers to match. Therefore there is continuing downward pressure on prices due to the increasing amount of choice available to buyers.
The recent budget has increased capital gains tax for second homes. There was talk of this being introduced next April but this in fact takes effect immediately so there will be no rush of landlords selling which should dampen supply a little. However, with mortgage costs likely to increase over time, many landlords are considering selling up anyway.
Looking forward to the rest of the year, there are still a number of new developments due to complete although still not many new starts. Canary Wharf Group now have planning permission for the final building on the original Canary Wharf Estate and will start work as soon as a tenant or buyer is found. With the working population of Canary Wharf continuing to increase the prospects for the local property market still looks positive.
If you have Property available to rent or sell in Canary Wharf call Angus Edy, Movello Managing Director on 020 7473 9533 or visit www.movello.com
Monday, 5 July 2010
Friday, 7 May 2010
Canary Wharf Property Update April 2010
The Canary Wharf Property market appears to be returning to favour with recent reports suggesting that East London property will outperform the rest of London over the next five years. Here at Movello we are seeing an increase in both buyers and tenants and also an increase in the number of properties coming onto the market for sale. There is still a shortage of good quality stock at realistic prices but buyers and sellers expectations on price are converging.
In terms of new developments we appear to have seen the last of the Galliard Homes fire sales, for now. Completions are continuing at Baltimore Wharf, Pan Peninsula and the Landmark. Some investors are still experiencing problems getting finance on new apartments and many completed flats are remaining empty while financing issues are resolved.
Lanterns Court is the next major development to start completing in November. Many of these units have already changed hands multiple times at the height of the boom in 2008. Prices paid for some of these units are looking very expensive in the current market and we are likely to continue to see buyers struggling to complete.
Barratt Homes have started ground works on their new development next to the Thames Barrier. When finished, this will add numerous shops and restaurants to an area that is currently lacking in these outlets. Ballymore is still developing their own plans for the Royal Docks having acquired a sizable land bank in the area.
The lettings market has been very strong this month with many tenants leaving their search to the last minute and being surprised about the lack of apartments available. Apartments in popular developments are being reserved soon after they become available. This is good news for landlords and may lead to rent increases over the coming months.
For a free valuation and market appraisal call Angus on 020 7473 9533 or email angus@movello.com
In terms of new developments we appear to have seen the last of the Galliard Homes fire sales, for now. Completions are continuing at Baltimore Wharf, Pan Peninsula and the Landmark. Some investors are still experiencing problems getting finance on new apartments and many completed flats are remaining empty while financing issues are resolved.
Lanterns Court is the next major development to start completing in November. Many of these units have already changed hands multiple times at the height of the boom in 2008. Prices paid for some of these units are looking very expensive in the current market and we are likely to continue to see buyers struggling to complete.
Barratt Homes have started ground works on their new development next to the Thames Barrier. When finished, this will add numerous shops and restaurants to an area that is currently lacking in these outlets. Ballymore is still developing their own plans for the Royal Docks having acquired a sizable land bank in the area.
The lettings market has been very strong this month with many tenants leaving their search to the last minute and being surprised about the lack of apartments available. Apartments in popular developments are being reserved soon after they become available. This is good news for landlords and may lead to rent increases over the coming months.
For a free valuation and market appraisal call Angus on 020 7473 9533 or email angus@movello.com
Thursday, 18 March 2010
Canary Wharf Property Update March 2010
With the traditional home moving season of Spring soon to start, most Canary Wharf agents will be desperate for good quality stock to sell and rent. Limited new stock is coming on to the market from recently completed developments such as the Landmark, Pan Peninsula and Baltimore Wharf. However, most vendors have paid eye watering prices for these units and are likely to be taking a loss in the current market. The so called “new build premium” no longer applies and brand new units are being sold close their older equivalents. For high deposit buyers this may be a good time to pick up a new flat before the new build mortgage market returns and the new build premium inevitably returns.
Prices have now been announced for the relaunch of St Luke’s Square in Canning Town by Galliard Homes. Discounts of £100,000 are being offered on 2 bed apartments starting at £190,000. We have already let all our apartments in the first phase of this development so are looking for new instructions from buyers attending the launch event on 27th March.
The lettings market is slow but steady with many tenants who secured low rents last year deciding to stay put. This is borne out by a recent call from a Canary Wharf concierge who was asking us if we had any apartments available in their development for some waiting tenants (it’s usually us asking the concierges if they know of any apartments available for our waiting tenants!)
Relocation agents are back in the market and we have been contacted by a number of agents recently working on behalf of some major banks rehiring and relocating staff to the UK. Typical requirements are good quality one and two bedroom apartments close to Canary Wharf. Budgets are £300 – 500 per week.
Short lets have also seen an upturn recently with a number of enquiries from corporate tenants looking to stay for 1 – 2 months with budgets £700 - £1000 per week. We are also receiving more enquiries from people looking to stay during the Olympics. If you have an apartment for sale or to rent contact Angus directly on 020 7473 9533 for a free no obligation valuation.
Prices have now been announced for the relaunch of St Luke’s Square in Canning Town by Galliard Homes. Discounts of £100,000 are being offered on 2 bed apartments starting at £190,000. We have already let all our apartments in the first phase of this development so are looking for new instructions from buyers attending the launch event on 27th March.
The lettings market is slow but steady with many tenants who secured low rents last year deciding to stay put. This is borne out by a recent call from a Canary Wharf concierge who was asking us if we had any apartments available in their development for some waiting tenants (it’s usually us asking the concierges if they know of any apartments available for our waiting tenants!)
Relocation agents are back in the market and we have been contacted by a number of agents recently working on behalf of some major banks rehiring and relocating staff to the UK. Typical requirements are good quality one and two bedroom apartments close to Canary Wharf. Budgets are £300 – 500 per week.
Short lets have also seen an upturn recently with a number of enquiries from corporate tenants looking to stay for 1 – 2 months with budgets £700 - £1000 per week. We are also receiving more enquiries from people looking to stay during the Olympics. If you have an apartment for sale or to rent contact Angus directly on 020 7473 9533 for a free no obligation valuation.
Monday, 22 February 2010
Canary Wharf Property Update Feb 2010
The Canary Wharf property market appears to be returning to some form of normality after a long period of uncertainty. We have seen a surge in interest from potential buyers and now require good quality properties at realistic prices to satisfy this demand. We have seen more sales this month than for the last three months of 2009.
Some positive signs appear to be coming from the mortgage market with an increase in the number of buy to let mortgages available and some further relaxing of the size of deposit needed to get some residential mortgages. However, this is countered by restrictions in the guarantor mortgage market which appears to be shrinking.
The re-launch of Indescon Court in Canary Quarter by developer Galliard Homes went off with a bang. Long queues were reported at the launch and the firm has now introduced a booking system for their next launch in Ilford to avoid people having to queue. Their next event in Docklands will be the relaunch of St Luke’s Square in Canning Town after only 25% of off plan purchasers were reported to have completed.
Barratt have now started groundwork on their new Royal Docks scheme currently named “Barrier Point 2”. The site next to the Thames Barrier and Thames Barrier Park is a large scheme of 1,000 apartments close to Pontoon Dock DLR station. However, the scheme may be affected by the recent decision by the LDA to concel the Silvertown Quays project which would have provided a world class aquarium and a town centre for the Royal Docks. There is now talk of the LDA forming a public private partnership to deliver the scheme post 2012 with the site used as temporary exhibition space during the Olympics.
Olympic fever has already begun at Movello with our first enquiries from families of athletes competing in the Games in 2012. All the athletes will be housed at the Olympic village in Stratford but families and supporters need to find their own accommodation. With the Excel Centre hosting seven events over the course of the Games, demand for short let accommodation in and around Canary Wharf will be fierce. Movello is traditionally very strong in Short lets having organised many Docklands corporate lets. We are now making arrangements for securing properties for up to 4 weeks before and during the games. If you currently let your apartment or would consider moving out during June/July 2012 contact Angus directly on 020 7473 9533 for a free no obligation valuation.
Angus Edy
Movello Managing Director
http://www.movello.com/
Some positive signs appear to be coming from the mortgage market with an increase in the number of buy to let mortgages available and some further relaxing of the size of deposit needed to get some residential mortgages. However, this is countered by restrictions in the guarantor mortgage market which appears to be shrinking.
The re-launch of Indescon Court in Canary Quarter by developer Galliard Homes went off with a bang. Long queues were reported at the launch and the firm has now introduced a booking system for their next launch in Ilford to avoid people having to queue. Their next event in Docklands will be the relaunch of St Luke’s Square in Canning Town after only 25% of off plan purchasers were reported to have completed.
Barratt have now started groundwork on their new Royal Docks scheme currently named “Barrier Point 2”. The site next to the Thames Barrier and Thames Barrier Park is a large scheme of 1,000 apartments close to Pontoon Dock DLR station. However, the scheme may be affected by the recent decision by the LDA to concel the Silvertown Quays project which would have provided a world class aquarium and a town centre for the Royal Docks. There is now talk of the LDA forming a public private partnership to deliver the scheme post 2012 with the site used as temporary exhibition space during the Olympics.
Olympic fever has already begun at Movello with our first enquiries from families of athletes competing in the Games in 2012. All the athletes will be housed at the Olympic village in Stratford but families and supporters need to find their own accommodation. With the Excel Centre hosting seven events over the course of the Games, demand for short let accommodation in and around Canary Wharf will be fierce. Movello is traditionally very strong in Short lets having organised many Docklands corporate lets. We are now making arrangements for securing properties for up to 4 weeks before and during the games. If you currently let your apartment or would consider moving out during June/July 2012 contact Angus directly on 020 7473 9533 for a free no obligation valuation.
Angus Edy
Movello Managing Director
http://www.movello.com/
Monday, 18 January 2010
Prospects for Canary Wharf Property in 2010
The Canary Wharf property market has started the new decade with a splutter in 2010. Heavy snow has dampened people’s appetite for getting out and viewing new property both for sale and rental. With the dire weather behind us we can start to confidently look forward to the year and decade ahead.
One of the first events of the Canary Wharf property calendar will be the re-launch of Indescon Court in Canary Quarter by developer Galliard Homes. After successful re-launches at Wharfside and Barking Central, I’m sure the marketing will be along similar lines with big discounts advertised to savvy buyers due to non completion of previous investors.
The outlook for property prices in the area looks positive with pent up demand and lack of supply combining to put upward pressure on prices as well as the regeneration benefits on the 2012 Olympics around the corner. My advice to sellers is “don’t wait for the Olympics to sell”. By then it may well be too late. There is a window of opportunity to sell to people hoping to benefit from an uplift in prices due to the Olympics, but the longer you leave it, the less benefit there is to buyers. The regeneration underway for Stratford and surrounding areas will help prices and I think everyone is looking forward to having our own Westfield’s shopping centre on our doorstep! The improvements to transport will also impact on prices. Barratt Homes are also making positive noises, announcing recently that they will be starting work on 8 new major developments in London.
Rightmove recently announced that property stock levels are at their lowest level for a century. This only adds to the notion that now is the right time to sell if you have been putting it off.
If you have a property for sale or to rent contact Angus directly on 020 7473 9533 for a free no obligation valuation. We have access to the latest valuation tools to give you a realistic achievable price for your property.
Angus Edy
Movello Managing Director
http://www.movello.com/
One of the first events of the Canary Wharf property calendar will be the re-launch of Indescon Court in Canary Quarter by developer Galliard Homes. After successful re-launches at Wharfside and Barking Central, I’m sure the marketing will be along similar lines with big discounts advertised to savvy buyers due to non completion of previous investors.
The outlook for property prices in the area looks positive with pent up demand and lack of supply combining to put upward pressure on prices as well as the regeneration benefits on the 2012 Olympics around the corner. My advice to sellers is “don’t wait for the Olympics to sell”. By then it may well be too late. There is a window of opportunity to sell to people hoping to benefit from an uplift in prices due to the Olympics, but the longer you leave it, the less benefit there is to buyers. The regeneration underway for Stratford and surrounding areas will help prices and I think everyone is looking forward to having our own Westfield’s shopping centre on our doorstep! The improvements to transport will also impact on prices. Barratt Homes are also making positive noises, announcing recently that they will be starting work on 8 new major developments in London.
Rightmove recently announced that property stock levels are at their lowest level for a century. This only adds to the notion that now is the right time to sell if you have been putting it off.
If you have a property for sale or to rent contact Angus directly on 020 7473 9533 for a free no obligation valuation. We have access to the latest valuation tools to give you a realistic achievable price for your property.
Angus Edy
Movello Managing Director
http://www.movello.com/
Wednesday, 18 November 2009
Landmark Completions Begin in Canary Wharf
December is traditionally a quiet time in the Canary Wharf property market. Tenants and buyers tend to be on the look out for bargains. Landlords know that if they don’t get a tenant by mid December they are likely to have an empty flat until the new year. However, this year tenants have to be careful they don’t negotiate too hard since many people are staying where they are and stock levels are surprisingly low. Good quality properties are being snapped up at close to asking prices and many tenants who have put in very low offers are being surprised and disappointed when their chosen property is let to someone else who puts in a higher offer. Long term tenants are also competing with short term Christmas holiday lets who traditionally pay more to stay over the holiday period. If you have a property becoming available in December make sure you talk to Movello about short lets.
We were expecting a large increase in stock with the completion of Pan Peninsula, Ability Place and The Landmark. However, completions are taking much longer than usual due to the difficulty getting mortgage finance and valuations from surveyors coming in lower than expected. Although the Landmark is still pretty much a building site, we have seen some early completions of 1 bed apartments (starting from £320pw) which are significantly bigger than their equivalent at Pan Peninsula. More completions are expected shortly so contact Movello for early viewings.
The sales market is slowly picking up but developers still have large numbers of unsold units which they are considering letting out until the market picks up further. This has not stopped some major developers cracking on with major schemes. Barratt is progressing well with the St Andrews Development in Bow and Ballymore are moving ahead with Baltimore Wharf on the Island and plan to start work again soon on their Leamouth Peninsula development, next to Canning Town station. Consultation has also begun on the Thames Wharf site next to Wards Wharf in E16. With a network of canals and the first “Urban beach” proposed, this will be a truly innovative development.
With inflation edging up, quantitative easing coming down, it won’t be long before interest rates start to rise. Buyer should take advantage while prices are low and tenants should make quick decisions if they want to be in by Christmas.
If you have a property to sell or rent, contact Movello Managing Director, Angus Edy for a free valuation on 020 7473 9530 or visit www.movello.com.
We were expecting a large increase in stock with the completion of Pan Peninsula, Ability Place and The Landmark. However, completions are taking much longer than usual due to the difficulty getting mortgage finance and valuations from surveyors coming in lower than expected. Although the Landmark is still pretty much a building site, we have seen some early completions of 1 bed apartments (starting from £320pw) which are significantly bigger than their equivalent at Pan Peninsula. More completions are expected shortly so contact Movello for early viewings.
The sales market is slowly picking up but developers still have large numbers of unsold units which they are considering letting out until the market picks up further. This has not stopped some major developers cracking on with major schemes. Barratt is progressing well with the St Andrews Development in Bow and Ballymore are moving ahead with Baltimore Wharf on the Island and plan to start work again soon on their Leamouth Peninsula development, next to Canning Town station. Consultation has also begun on the Thames Wharf site next to Wards Wharf in E16. With a network of canals and the first “Urban beach” proposed, this will be a truly innovative development.
With inflation edging up, quantitative easing coming down, it won’t be long before interest rates start to rise. Buyer should take advantage while prices are low and tenants should make quick decisions if they want to be in by Christmas.
If you have a property to sell or rent, contact Movello Managing Director, Angus Edy for a free valuation on 020 7473 9530 or visit www.movello.com.
Wednesday, 14 October 2009
New Column in London Homes and Property
I have been asked to write a monthly column in the new London Homes and Property Magazine. Over 60,000 copies will be distributed in and around Canary Wharf and the City. Please find below my first article published in October 2009.
Busy summer leads to shortage of property
What never fails to surprise me with the Canary Wharf property market is how quickly the tide can turn in your favour and against you. In early summer we were experiencing a glut of properties available for rent and a worryingly low number of tenants looking. In the space of a few weeks the tide had completely turned and we were experiencing a high number of new applicants and a fast diminishing supply of property. The summer came and we saw the completion of The Icon (now Ability Place) and the long awaited Pan Peninsula. The completion of these two major developments has failed to satisfy the still raging demand for good quality apartments within walking distance of Canary Wharf. The main problem is that despite the buildings being completed, the sale of many of the apartments has not been completed. Many investors have been caught out by the sudden fall in prices in 2008/09 combined with a similarly sudden tightening of finance available to buy to let investors. Many of the apartments have gone back to the developer to be resold or held until the market shows signs of a sustained recovery. By not releasing these apartments onto the rental market this has created pent up demand and helped maintain rental prices for prime canary wharf apartments.
Tenants now have to move very quickly to secure good quality apartments in Canary Wharf. We still have a few apartments available at Ability Place and Pan Peninsula but they are being snapped up very quickly. Ability Place is proving popular due to it’s superior gym and more spacious apartments. Being situated at 39 Millharbour Road it is a little further to walk to Canary Wharf than Pan Peninsula but prices also reflect this. Pan Peninsula is still “The Place to Live” at the moment with its’ Resident’s Cinema, Roof top bar, Six Senses Spa and close proximity to Canary Wharf. Hot on the heels of these new developments is The Landmark. Further down Marsh Wall and very close to the Riverside South Office complex, The Landmark is due to start completions next month. We already have some instructions here and are looking for more.
Corporate clients are also returning to the market. Tenants are more confident about their job prospects and are committing to new tenancies rather than letting their current tenancy go onto a monthly rolling contract. With a shortage of supply we are also seeing rents starting to increase. Traditionally we see tenants waiting until the winter to renew their contracts when they think they can negotiate the best rent. My advice to tenants is renew now while you can.
We have seen increased activity on the sales side, with many more viewings being booked compared to this time last year. Buyers are still finding it difficult to raise a sufficient deposit and lenders are still making it very difficult to get competitive finance. However, the signs are positive and we expect activity and prices to stabilise and improve over the coming months.
If you have a property to sell or rent, contact Movello Managing Director, Angus Edy for a free valuation on 020 7473 9530 or visit www.movello.com.
Busy summer leads to shortage of property
What never fails to surprise me with the Canary Wharf property market is how quickly the tide can turn in your favour and against you. In early summer we were experiencing a glut of properties available for rent and a worryingly low number of tenants looking. In the space of a few weeks the tide had completely turned and we were experiencing a high number of new applicants and a fast diminishing supply of property. The summer came and we saw the completion of The Icon (now Ability Place) and the long awaited Pan Peninsula. The completion of these two major developments has failed to satisfy the still raging demand for good quality apartments within walking distance of Canary Wharf. The main problem is that despite the buildings being completed, the sale of many of the apartments has not been completed. Many investors have been caught out by the sudden fall in prices in 2008/09 combined with a similarly sudden tightening of finance available to buy to let investors. Many of the apartments have gone back to the developer to be resold or held until the market shows signs of a sustained recovery. By not releasing these apartments onto the rental market this has created pent up demand and helped maintain rental prices for prime canary wharf apartments.
Tenants now have to move very quickly to secure good quality apartments in Canary Wharf. We still have a few apartments available at Ability Place and Pan Peninsula but they are being snapped up very quickly. Ability Place is proving popular due to it’s superior gym and more spacious apartments. Being situated at 39 Millharbour Road it is a little further to walk to Canary Wharf than Pan Peninsula but prices also reflect this. Pan Peninsula is still “The Place to Live” at the moment with its’ Resident’s Cinema, Roof top bar, Six Senses Spa and close proximity to Canary Wharf. Hot on the heels of these new developments is The Landmark. Further down Marsh Wall and very close to the Riverside South Office complex, The Landmark is due to start completions next month. We already have some instructions here and are looking for more.
Corporate clients are also returning to the market. Tenants are more confident about their job prospects and are committing to new tenancies rather than letting their current tenancy go onto a monthly rolling contract. With a shortage of supply we are also seeing rents starting to increase. Traditionally we see tenants waiting until the winter to renew their contracts when they think they can negotiate the best rent. My advice to tenants is renew now while you can.
We have seen increased activity on the sales side, with many more viewings being booked compared to this time last year. Buyers are still finding it difficult to raise a sufficient deposit and lenders are still making it very difficult to get competitive finance. However, the signs are positive and we expect activity and prices to stabilise and improve over the coming months.
If you have a property to sell or rent, contact Movello Managing Director, Angus Edy for a free valuation on 020 7473 9530 or visit www.movello.com.
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