Market Update Q2 2015

Market Update Q2 2015

Market Update Q2 2015 , welcome to the second update of 2015, giving you an up-to-date view of the office, investment & development market in the west of the West End and providing an insight into prevailing trends in this sector.

Q2 MARKET SUMMARY -Market Update Q2 2015

Office demand continued unabated into Q2 with rents still increasing due to lack of supply. Best office rents in Hammersmith and Kensington are at £52.50 with Chiswick and Fulham at £42.50 to £47.50 per sq ft. West of West End investment yields have reduced to below 4% for the best freehold property but residential transactions levels are lower for house sales over £1m. This is possible due to vendors and purchasers not yet recalibrating following the residential stamp duty increases last December which meant that purchases of houses between £1m and £5m are costing an additional 1 to 3% more in stamp duty than the previous rates in 2014. The residential market is busy under £1m, perhaps because of the benefits of the reduced stamp duty below this price and the improved availability of lending for purchasers. Substantial transactions include …