SiteSwitchText

SiteSwitchDismissText

Skip to content

Buy
Buy

Find the ideal house or apartment to buy. Let us guide you to your next home.
Properties for Sale in London

New Homes and Developments

Homes with Virtual Tours

Guide to Buying

Stamp Duty Calculator

Investment Opportunities

Private Clients

Prime Central London Team

London APAC Team
Rent
Rent

Find the ideal house or apartment to rent. Let us guide you to your next home.
Homes to Rent

New Homes & Developments

Homes with Virtual Tours

Guide to Renting

Renting Your Student Home

Guide to Student Rentals

Legal & Financial

Tenant Fees
Services
Services

Discover how we can help your residential property goals with integrated, data-led services.
View all Services
Sell

Market Appraisal

Selling Your Property

The Private Office

Private Clients

Prime Central London

Landlords

Why Choose CBRE

Lettings Market Appraisal

Guide to Renting your Flat to Students

Management Services

Corporate Letting Services

Landlord Fees

Tax Advice
Insights & Research
Insights & Research

Our research and thought leadership platform delivers actionable insights to help you make informed residential property decisions.
Explore Insights & Research
Area Guides

London Area Guides

University Area Guides

University Guides

Latest Research

Market Reports

News & Views

Property Transactions

Mortgages

Resources

Stamp Duty Calculator

Buy to Stamp Duty Calculator
About Us
Contact

Visit Another Country or Region

Hong Kong

France
Serbia
United Kingdom

Bahrain

Residential News & Views

London’s Regeneration Zones Boost Surrounding Property Values by Additional 2.2% Annually

16th March 2023

gettyimages_1270244906 (1)

The report, ‘The effect of regeneration on local property values’, analysed 11 regeneration areas across London and matched property transactions within a 10-minute walk of each of them to calculate the average compound annual growth rate (CAGR), from the year the regeneration commenced. This was compared to the growth rate of the respective borough that each regeneration zone was located in.

The research attributes several fundamentals which drive successful regeneration – transport links, integrating and enhancing the area’s heritage, retail, green space, education and social value.

Since 2008, homes surrounding Paddington’s regeneration zone have seen the largest growth premium of 5.8% per year on average.

Unsurprisingly, Nine Elms boasts a 3.2% annual growth premium, aligning with the transformation of the Grade II listed Battersea Power Station, which was renovated into London’s newest shopping centre. The design of the shopping centre had an emphasis on maintaining the building’s historical significance. The area is also earmarked for a new 420-pupil capacity school and 4.5-hectare linear park.

Elephant and Castle is another area delivering a strong additional premium at 2.5% annually. Benefiting already from its Zone 1/2 location, in recent years investment into the area has included a £20m leisure centre, £350,000 in community grants and £1.3m of public health projects.

Shaun Macnamara, Executive Director, CBRE, said: “There are some tangible examples in London where the successful implementation of a regeneration project has helped achieve premium price growth and real uplift for property in the area. Buyers looking to enter the London market, or to relocate, would benefit from considering these key zones, or areas which are earmarked for future regeneration given the potential growth premium available.

“Since the pandemic, Londoners are now spending more time at home and in their local community. Therefore, getting regeneration right – creating high-quality areas to live, work and socialise - is now more important than ever.”

Another key example is the extension of the Jubilee line and the new Elizabeth line, which have been significant infrastructure projects and have subsequently unlocked regeneration areas across the capital.

Since the project was approved in 2008, more than 31,000 private homes have now been built within 800m of an Elizabeth line station. In Canary Wharf, over 100,000 square feet of retail and leisure space has been delivered directly above the station alone.

CBRE’s report found the average value of property in Canary Wharf’s respective borough, Tower Hamlets, increased by £296,000 since 2004. By comparison, property neighbouring the regeneration zone, and subsequently benefitting from the regeneration growth premium, increased by £454,000 in the same period.

londonregenchart

londonregenchart

Contacts

Luke Mills

Managing Director, UK Residential

Email

Item 0 Item 1 Item 2 Item 3 Item 4 Item 5

Properties for Sale in London
Properties for Rent in London
New Developments to Buy in London
New Developments to Rent in London
Houses for Sale in London
Flats for Sale in London
All Properties for Sale in UK
Register with Us
Landlords
Area Guides

Global Web Privacy and Cookie Notice
Our Response to Schrems II
CBRE Intranet
Privacy Notice
Client Money Handling Procedure
RICS Client Money Protection Scheme

Copyright © 2024 CBRE. All rights reserved.