Birmingham remains UK property hotspot, says European real estate report
Birmingham maintains its position as one of the highest ranking UK cities for investment prospects in the 2018 Emerging Trends in Real Estate® Europe: Reshaping the future report – a forecast published jointly by PwC and the Urban Land Institute (ULI).
Based on the opinions of over 800 real estate professionals in Europe, including investors, developers, lenders, agents and consultants, Birmingham has been ranked 21, up one place from last year, ahead of Edinburgh at 26 and London at 27.
The report suggests, Birmingham’s position could be in part due to investor cautiousness of an overpriced and over reliant financial services sector in London, with regional cities being seen to provide better growth prospects in the short term. However, in the long term, Brexit uncertainty continues to colour the UK’s regional real estate markets.
With the city set to benefit from substantial infrastructure investment from HS2, the extension of tramlines, Arena Central, Curzon Street and Paradise, Birmingham is considered to be a prime location for investors.
Commenting on the report’s findings, PwC Midlands regional chairman, Matthew Hammond said:
“Investor sentiment in the city has received a boost from the election of a new Mayor, the negotiations around a second devolution deal and the progress of the many infrastructure projects taking shape in the city. Birmingham still remains one of the highest performing UK cities ahead of Edinburgh and London.
“This report reveals that investors are focusing on cities and assets rather than countries and like regional centres in a number of other European countries, Birmingham offers good value, unrivalled transport links and is located at the heart of the UK’s distribution network.
“PwC’s investment in the city at One Chamberlain Square, a landmark building in the city’s £500 million transformational Paradise development reflects our commitment to the city. As part of Birmingham’s City Centre Enterprise Zone, the development is a key part of the city’s growth strategy to attract business and investors, create jobs and improve infrastructure and will offer our staff, clients and visitors a truly first class working environment.”
According to the report, the leading European cities for investment prospects in 2018 are Berlin at the top spot, followed by tied cities, Frankfurt and Copenhagen.