Asian investors buying London property on large scale
Asian investors are continuing to buy London commercial property on a large scale this year. London is at the centre of property transactions in recent times. This rise is due to a number of factors such as fall in sterling. London is having investors from different parts of the world but most are from Asia. International investors from Asia are investing lot of money in the London commercial property market in recent times.
Among the countries, China has topped the list with the highest investment. The latest in the list is the Walkie Talkie, a 34-storey skyscraper that was bought for £1,28bn by the Hong Kong based Infinitus Property Group. The sale of the famous property yielded 3.4% and accounted for 61% of July’s turnover. This has taken the monthly average lot size up to £190.92m. With this, the total turnover for this year has reached £7.4bn, which is a 51% rise during the same period in the previous year. This year, 17 transactions have already taken so far, while just 19 transactions took place across the whole of 2016. Total transaction so far this year amounts to £5.8bn which was just £4.4bn for the entire previous year.
Demand for high-value property has grown because of the fall in sterling. Properties worth more than £100m have drawn special attention from the overseas investors as they want to take advantage of the depreciation of sterling.
Among the overall international investors, Asian investors account for the most deals in the London commercial property sector. Investors are looking to buy properties at comparatively lower prices as property has become cheaper. Asian investors have accounted for 63% of the city’s turnover this year. They are followed by European investors far behind at 17% and UK investors at 11%.Risk Warning:
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