Statistics released by constructionindex.co.uk show that homebuilding in London has taken a shift towards the centre of London. The same figures suggest that two to three bedroom flats have been in greater demand this year, with one bedroom and studio flats experiencing a gradual decline.
Although Central London has many constraints preventing extensive homebuilding including lack of space, 8 of the 10 most residential construction active boroughs are located in the centre of the English capital, with the outer boroughs suffering a large decrease in new residential building sites, with some boroughs currently not building any new homes.
It’s thought that one of the many reasons for the increase in residential construction activity in Central London is closely related to the increase in international investors from the Far East and private Eastern European buyers who are looking to buy properties right in the middle of town.
This, and an increase of professionals coming to work in London from Europe and further afield looking for a central located base – with many bringing their families with them, could be responsible for the increase of residential builds in the middle of the city. Last week, Global Briefing reported that a total of 52 nationalities bought new builds in Central London last year, spending £2.2billion.
On the whole, residential building in Central and Greater London has increased in the second half of 2012, and figures for early 2013 are promising, with a lot of residential construction projects due to be completed in the first half of the year. Perhaps the most notable Central London homebuilding projects include the Galliard’s Lincoln Plaza in Canary Wharf – in the borough of Tower Hamlets.
Keep checking the Walsh blog for more news on residential construction projects in London as we move further into 2013.