West End Residential; our patch, our view Q4 2015
The fourth quarter of 2015 saw 33% of West End homes sold higher than £2,250 psf. CBRE's latest report analyses the sales and lettings figures across the West End market towards the end of 2015...
In a continuation of strong sales figures throughout 2015, the West End market enjoyed a robust end to the year with 33% of homes sold in Q4 upward of £2,250 psf across CBRE Residential’s West End patch. This is the highest average value achieved since 2012 and an increase of 23% on the previous year.
Overall, the total value of sales was up 15% on Q4 2014 with a 65% increase in the volume of sales compared to the first half of 2015. This surge of activity in the market can be attributed to a recovery in buyer confidence following the minor disruption of mansion tax after the May election.
Strong demand has been witnessed in the new-build market with new properties making up 67% of all sales conducted by CBRE in Q4. This indicates a continued focus from purchasers on high specification new-build residences, with these properties achieving a premium of 92% on average capital value, up 69% on Q3.
Jamie Gunning, Senior Director, CBRE Residential, West End said:
“Demand has remained strong throughout 2015 and this is anticipated to continue into 2016. We have a number of high quality developments completing in Q1 2016 and expect these to be well received by the market, positively affecting sales rates. With the opening of Tottenham Court Road Station due at the end of 2016, activity within the West End is expected to soar as buyers seek properties in close proximity to this key transport hub."