West End commercial property market thriving due to foreign investment

London’s West End commercial property market is currently seeing a high level of activity, particularly from foreign investors, with several recent landmark sales in the office and retail markets.

Simon Taylor (FRICS), head of the commercial department at specialist West End estate agency, LDG, comments: “Although the pound is gaining strength, Central / West End of London commercial property investments still currently look cheap to foreign investors, hence significant recent deals such as the reported sale of Land Securities Park House development to a Qatari-backed investor for circa £250m.

“Because the property REITs are currently rebuilding their balance sheets and the banks are generally not lending on development, selling existing “oven ready” supply is one of the only ways commercial developers can raise capital, and whilst there is a significant amount of foreign money in the market to purchase, it makes sense to sell.

“Foreign investors want to buy tangible assets, and commercial property in London is deemed a safe bet, particularly as there are few places in the world with long leases with upward only reviews every five years; another attraction.”

Simon concludes: “We anticipate a continued strong market in the West End, particularly now the emergency Budget has been announced and there is more clarity on the detail of the Governments’ plans.”

For further information and to enquire about premises LDG is currently marketing, please visit www.ldg.co.uk or telephone: 020 7580 1010.

For further press information, please contact Emma Ward Hunt at Foundation PR Ltd on: emma.wardhunt@foundation-pr.co.uk or telephone: 020 8542 7400 / 07989 979693.