According to the Financial Times, overseas investors have kept the office block investment in London in overdrive throughout 2017! As shared in our previous article, property investments are experiencing a surge because of Brexit; contrary to the market’s initial negative speculation on this. Brexit and the merry-go-round negotiations with the EU have weakened the pound, which was just the green light they were waiting for to pour in money to invest in different commercial properties in UK, London to be specific.
According to Bloomberg, “Overseas investors dominate London’s property market”. In the first half of 2017, 26.7 billion Euros of foreign investment were recorded in the commercial property market in the UK. This figure includes not only individual investors, but also big corporations from Asia looking to profit from the lucrative London property market. Data also shows these transactions were mostly investments in office and retail property.
People who are afraid that UK commercial property market is heading to a bad road with Brexit couldn’t be more wrong. Ben Burston, Head of UK Office and Capital Markets Research in JLL, the investment giant, said “Many private investors are keen to diversify their holdings internationally and Brexit is viewed as an opportunity to benefit from discounted pricing in London, relative to other major global centres.”
As a group, WSC looks into London as the epicentre of our growth plans. The UK capital has always proven to be consistently stable in terms of capital gains but Brexit has only given the city’s property market a resurgence in investor confidence and preference. And in line with the shift and growing importance of the shared office model in London, WSC is poised to reap the benefits of being a player in this growing sub-sector of London’s real estate market.