Commenting on the laying of foundations for the new Isle of Dogs Crossrail station at Canary Wharf, Neil Young, CEO of property portfolio managers Young Group, welcomes the boost to property market confidence that the project will bring.
Neil Young, Young Group’s CEO comments, “The impact of infrastructure improvements on the property market is well documented and Crossrail is a prime example of a project which will provide a much needed boost to confidence in the local markets close to the new route’s stations as localised demand for property increases.”
Young Group points out that historically, new stations have resulted in property prices seeing a benefit of around 10% – over and above the prevailing market movement – with the impact concentrated on station location as the epicentre, with the effect diminishing by c. 1.5% every 1km further away you are from the new station.
The statistics have been researched by the London School of Economics and use sample data from the impact on property prices brought by the Jubilee Line Extension and the Docklands Light Railway (DLR).
Neil Young continues; “The support that property prices receive from infrastructure projects is demonstrated by the new East London line extension that’s currently under construction. Within 18 months of the project announcement, prices in Dalston at Young Group’s development, The Interchange, increased by around 9 per cent over and above the average for London during that period.
“Even small scale transportation enhancements can have a positive local impact. For instance, within six weeks of the new pier opening at Woolwich Arsenal for riverboat services, we saw rental renewal prices increase at the Royal Arsenal development by around 10%, at a time when the market as a whole was softening.”
Neil Young, CEO – Young Group, is available for interview
About Young Group (www.younggroup.co.uk)
Young Group specialises in providing Property Portfolio Management services to private and institutional investors, offering asset management, acquisition and disposal off residential property investments.
At a Glance:
• 255: The number of apartments that Young Group clients have successfully completed on in 2008
• 67%: The percentage of new business generated through referral and by repeat investors
• £700 million: The value of property that Young Group has transacted since it formed in 2003
• 1,700: The number of apartments that Young Group has transacted since 2003
• 15: The number of developments offered to Young Group’s client base of global private investors
• 300: The number of assets currently under management by Young London – our lettings business
• £35 million: The value of mortgages written by Young Finance in 2008
• 272: The number of tenants who will sleep soundly in beds provided by Young Furnishing
• 99%: The proportion of investors who will hold their property assets for at least the next 12 months.
Young Group manages the entire investment process from sourcing opportunities through to financing (Young Finance: www.youngfinance.co.uk), furnishing (Young Furnishing: www.youngfurnishing.co.uk) and letting (Young London: www.younglondon.co.uk). Young Group is the principal in the majority of transactions and also retains a number of units for its own portfolio. As the principal, Young Group does not realise any profits until completion and has transacted in excess of 1,700 apartments, with a retail value of more than £700 million. The majority of our units are bought by clients for their private portfolios. The Group’s portfolio managers liaise with the Young London estate agency team in advance of completion to let investors’ apartments to quality tenants, often through corporate lets.
Young Group clients have access to all available finance products via Young Group’s FSA regulated mortgage desk, Young Finance. Young Finance is an appointed representative of Thinc Assured Network, one of the UK’s largest financial advisory firms and is not tied to any group of lenders, nor does it charge commission or transaction fees.
• Young Group’s iconic Canary Wharf development, The Landmark (www.TheLandmarkE14.com), has been awarded two Daily Mail Property Awards in the categories of best high rise development and best high rise architecture. The Landmark East Tower rises to a height of 459 ft, making it one of the tallest residential properties in Europe.
• Young Group’s COO, Sylvana Young, has been named Bradford and Bingley’s Property Woman of the Year, 2008 for London.
• Young London (www.younglondon.co.uk) is a finalist in the national Estate Agent and Letting Agent Awards, 2009.
Young Group supports NORWOOD and CHILDREN with LEUKAEMIA, two charities particularly close to our heart, donating £50 per property exchange and providing additional support throughout the year. Visit www.younggroup.co.uk to learn more.
Neil Young, CEO – Young Group, is available for interview/further comment