Docklands News

East London councillors rejected the application to extend 225 Marsh Wall, following advice from Tower Hamlets Council's planning committee that the height of the new building would be “detrimental to the townscape and Canary Wharf skyline”. The 49-storey tower, designed by Make Architects, is already under construction, but earlier this year developer DDU, a subsidiary of Scott Brownrigg, applied to increase its height by 22m up to 56 storeys. The council’s report on the decision added that the provision of affordable housing was “not sufficient to warrant a departure” from policies for managing height within a Tall Building Zone.

Property Week (28/07/2022)  

Property prices in the UK have hit an average of £271,209, according to data from Nationwide. Prices were up 11% year-on-year in July, exceeding the 10.7% annual growth recorded in June. The increase means values have risen for 12 consecutive months. Month-on-month, prices climbed 0.1% last month, with this the smallest level of growth in a year. The level of growth has fluctuated in different areas of the UK, however, with the quarterly change in price in the South West at 14.7%, compared to 6% in London. The capital has the highest average property price at £540,399, while Scotland has the lowest, £181,422. First-timer buyer mortgage completions remain around 5% above pre-pandemic levels, according to the Nationwide. Reflecting on the figures, Nationwide’s chief economist Robert Gardner said: “While there are tentative signs of a slowdown in activity, with a dip in the number of mortgage approvals for house purchases in June, this has yet to feed through to price growth".

BBC News (02/08/2022)   Daily Mail (02/08/2022)   The Daily Telegraph (02/08/2022)   The Guardian (02/08/2022)  

The amount of money lent on new mortgages fell by a third in June. Mortgage debt fell by 33.75% compared to May and now sits at £5.3bn, although it remains above pre-pandemic levels of £4.3bn, according to figures from the Bank of England. The data suggests that the cost of living crisis is dampening the housing market. Increasing inflation is also driving up the interest charged on mortgages. The 'effective' interest rate – the actual interest rate paid – on new mortgages also increased by 20 basis points to 2.15% in June. The rate on existing mortgages ticked up 4 basis points to 2.11% as the Bank of England raised interest rates. There are also signs of a slowdown in the housing market with approvals for house purchases, down to 63,700 in June, from 65,700 in May, below the 12-month pre-pandemic average up to February 2020 of 66,700. The figures reflect house purchases which were agreed several months ago, which suggests that appetite for new mortgages could continue to decrease. 

Daily Mail (29/07/2022)   Evening Standard (29/07/2022)   The Guardian (29/07/2022)   The Times (29/07/2022)  

A quarter of grandparents have assisted – or are planning to help – their grandchildren become first-time buyers, a new study suggests. The proportion of grandparents helping out financially has risen by a third since 2016 when the research was last carried out by insurer Aviva. The average amount given by grandparents has also increased to around £31,000 – 25% higher than six years ago. Grandparents who help their grandchildren to buy a property typically do so using their own savings or by releasing value from their own home, Aviva says. 

Daily Mail (03/08/2022)  

The falling value of the pound has spurred the global super-rich into buying 61 luxury London properties each worth more than £10m in the first half of 2022 – the highest number in ten years. The total value of £10m-plus homes changing hands so far this year has topped £1bn as international buyers continue to be attracted to London despite Brexit. The sales include a 12-bedroom mansion on Belgrave Square that sold for more than £90m. The sale has not yet been recorded by the Land Registry, but both the selling and buying agents confirmed that the transaction took place last month. Belgrave Square, which is about equidistant between Buckingham Palace and Harrods, is popular with wealthy overseas families as it is home to a number of foreign embassies. Other ultra-luxury homes sold so far this year, according to Land Registry filings analysed by property service LonRes, include a mansion on The Boltons in Chelsea that sold for £42m, a King's Road property for £40m and a Mayfair home near Hyde Park for £40m. Anthony Payne, managing director of LonRes, said there was “a hell of a lot of money around chasing very few properties, and of course that is pumping up prices”. He said the drop in the value of the pound, which has fallen by 11% since the start of the year to $1.20, had attracted overseas buyers looking for “a deal”. “The rich have a lot of money at the moment,” he added. 

Evening Standard   The Guardian  

As the UK’s authorities have cracked down on Russian oligarchs and their property empires in London, Chinese buyers have been filling the void. "Russian money is pretty much yesterday," says Beauchamp Estates' Paul Finch. The number of new Russian buyers has tumbled over the past four or five years, with scrutiny having increased gradually after the Skripal poisonings and then massively after the invasion of Ukraine. "The Chinese have definitely taken up the slack. They have been quite prolific, especially the Hong Kong Chinese, in buying up properties in London," he adds. "They want trophies. And with that you get all the bells and whistles - the amenities and the facilities." In 2021, all of the city's top five super-prime property deals - or those worth £20m or more - involved Chinese billionaires, according to research by Beauchamp. That was ahead of Russians, Americans, Britons and Africans, who made up the rest of the list. As ever, one of London's big draws is its private schools and cultural offering.

The Sunday Telegraph