The London rental market – January 2017

The London rental property market  is picking up again after the holiday period and with some fantastic new property developments completing in the next few weeks, we are anticipating good demand  from applicants keen to move soon.  With the much-anticipated arrival of the first phase of apartments at Battersea Power Station and indeed Paddington Exchange, we’ve been helping landlords prepare their properties for rental and providing a number of furnishing packages that will appeal to corporate tenants.

Affordability remains a priority for tenants and we are already seeing  demand for apartments priced between £300 and £450 per week and two bedroom properties with two bathrooms and asking rents of £450 to £650 per week starting to trickle in.  Above £1,000 per week,  properties are still not seeing the level of enquiries we would likebut accurate pricing and impeccable presentation are key to attracting a tenant quickly and as professionals get back to work full-swing, we expect business to pick-up pace.

West London (Hammersmith, Ealing, Kew/Brentford) 

Over Christmas we had quite a lot of applicants searching our listings for rental homes at Dickens Yard in Ealing, many of whom are planning to move to the area for the first time.  The next building to launch at Dickens Yard is Vista, in June, and we are confident that this will attract high levels of enquiries just as all the previous buildings have at this stand-out scheme.

Good rental demand continues at Kew Bridge in Brentford too as the area grows in popularity. At Kew Bridge West, we will be seeing the launch of the next phase, Heritage Walk this month and we are already receiving enquiries. Asking rentals for studios here will be from £300 per week, one bedroom apartments from £350 per week, two bedroom apartments from £500 per week and three bedroom apartments from £690 per week.

At Fulham Reach in Hammersmith, demand is picking up again, with one and two bedroom apartments attracting a lot of interest. The development won Gold at the 2016 WhatHouse Awards for Best Mixed-Use Development and its amenities and high spec finish mean that it is popular with applicants throughout the year.

Central London (Kensington, Knightsbridge, Hyde Park/Paddington)

Our Kensington branch has had a strong start in the first week back, receiving higher numbers of enquiries than we would usually see at this time of year.  More new applicants looking  to move into the area for the first time have registered with us and we are seeing good demand for one and two bedroom properties. There is already good interest from relocation agents and again, demand is stronger than we would normally see so soon. Enquiry levels are highest for properties priced from £700 to £800 per week. We have just signed up some new properties which completed at the end of December with some very attractive rental homes coming to the market. These are mainly new investors from overseas keen to get their properties rented quickly and we are getting these properties seen by prospective tenants as I write.

In Knightsbridge the usual seasonal Christmas dip has now turned into a surge in rental demand as we move into the New Year, with strong enquiries from applicants looking to move home in January and February. With such a good start to 2017 and demand higher than at the same point last year, this is a very positive beginning to the year for us. Our Hyde Park branch has had a very busy few weeks, again more so than normal for the time of year. Enquiries continued to come in over the Christmas period from applicants looking to move to a new home early in 2017. This year will see the launch of several exciting new developments in this part of central London, in particular Paddington Exchange at Paddington Basin, Hardy Mansions at Portobello Square and Rathbone Place in Fitzrovia and we expect these to attract a lot of interest from applicants over the coming months.

North/North West London (Hampstead, Highgate and Beaufort Park)

Rental demand is buoyant in Highgate – January has got off to a strong start while December was our busiest in 10 years. The market generally is busier than usual than at this time of year – properties are letting well and we have good stocks. One and two bedroom properties are seeing the highest demand but we are also receiving enquiries for three and four bedroom homes close to good schools from professionals relocating to London with a new job or promotion, particularly from the US, Australia, New Zealand and Germany. High spec homes in new developments such as Woodberry Park and Highbury Square remain very popular with applicants who love their amenities.

We expect the rental market in Hampstead to gather pace now and we are already seeing good corporate enquiries coming in from both single professionals and senior executives with families. Demand is strong across the board, for one and two bed apartments. Premium properties above £1,500 per week are going to take a little longer to let and this is why presentation is crucial. We currently have good stock and continue to receive more instructions from local landlords as we move further into January. Demand for rental apartments at Beaufort Park in Colindale continues unabated and we have good stocks to meet applicants’ requests. One and two bedroom apartments are in highest demand. With the development rapidly growing in popularity, new phases are always met with great enthusiasm by applicants and we expect the next to launch, Sterling House, to be a great success with apartments renting quickly at full asking rentals.

City, Docklands and East London (City, Canary Wharf and Wapping)

With high demand for rental properties in the City and Docklands, we are seeing a good start to 2017 with enquiries coming in steadily for one and two bedroom apartments. There are a number of developments launching soon across East London which we expect to be extremely popular with applicants. The second phase at Goodman’s Fields is creating a buzz as new apartments complete and we are expecting good take-up here. We have good stocks of premium properties in the City, of which the latest to launch is Princes House in Kingsway and this is generating a lot of interest. One bedroom apartments are achieving £575 per week and two beds £850 – £1200 per week. In Canary Wharf, smaller apartments are in high demand and we are receiving new instructions at Dollar Bay, a new residential tower with stunning river views, close to Canning Town tube station on the Jubilee line. We have a number of properties here with asking rentals from £430 – £470 per week for a one bed. Also launching now is a new phase of London City Island, which we expect to be extremely popular. In nearby Wapping, Canary Gateway at Limehouse is a striking canalside development offering high spec apartments and good value for money with one bedroom apartments from £330 – £360 per week. 

We’re also very excited about the first phase launch at London Dock taking place now and our on-site branch is well placed to help on the spot with enquiries from tenants and landlords alike. This much-awaited scheme built on the former News International site is set to be a popular destination for corporates who like a short commute into the City each day and fantastic on-site amenities offering a sophisticated lifestyle in a convenient location.

South East London (Greenwich and Surrey Quays)

Rental demand remains good in Greenwich with plenty of enquiries, particularly for one and two bedroom apartments.  We are again looking for new instructions and are looking forward to the launch of the next phase of apartments at Kidbrooke Village which will help to meet the increasing demand locally. In Surrey Quays, applicants are now registering interest in Tavern Quays which is now completing.  Demand just goes from strength to strength in this immensely popular development. The next phase of Marine Wharf, Mariners Place, will be completing at the end of March and demand here is also expected to be high.

South West central London (Imperial Wharf and Nine Elms)

Enquiries at Imperial Wharf remain consistently good, with quite a few applicants signing tenancy agreements in mid-December, planning to move into their new apartments in January and February. One and two bedroom apartments are particularly popular. At adjacent property development Chelsea Creek, rents are a bit higher and we are starting to see enquiries come in again now after the festive season lull. Looking ahead to spring, April sees the launch of Lockside House which will boost our stock levels at the development and create a flow of interest. At Nine Elms Point, rental demand is steadily picking up and applicants are attracted by its affordability and location so close to central London. With new phases launching in 2017 and the imminent arrival of the first apartments at Battersea Power Station, we expect increasing stock levels to further boost the appeal of Nine Elms which is definitely a new hotspot to watch this year.

If you have a property to let in any of these areas, or would like a free no-obligation rental valuation of your property please do get in touch with us. For more London rental market news and updates, subscribe to our newsletter.