Quality West End offices have increased investment desirability

Quality West End offices have increased their investment desirability in 2011.

Total transactions across London in the first quarter of 2011 were approximately £2.9 billion compared with £1.63 billion in the first quarter of 2010. An increase in investment in the first three months of 34% year on year indicates prosperity in the capital. These results and figures come from property consultant Cushman and Wakefield who believe this is an encouraging sign both for London and the rest of the country.

Although these findings illustrate that investment still falls a long way short of that achieved during the property boom, they are still reassuring indicating investment resurrection.

Quality West End Offices to rent

At the moment it can be seen that foreign investors are the biggest contributors to the market, leading over 55% of deals in the West End. UK funds and investors account for around 33% of investment in the West End. This balance is expected to gradually equal out as developers again begin to push projects that had come to a halt due to the recession. There is a growing demand for luxury investment in the West End, especially for offices with active management opportunities.

Bill Tyser, head of city investment as Cushman and Wakefield said “‘Whilst the demand for very large investments is less, it is still active and is a reflection of the international view of London as a relatively stable market against the geo-political unrest and natural disasters experienced in recent months. The outlook for quarter two remains strong.”

Investment may not yet have reached the height of the property boom, but the increased intrest in just the first quarter is a very good sign for the capital. Whilst the West End remains in such high demand we can only hope to expect even better and brighter transactions in the second quarter.

Source via Property Wire