Regeneration and a forward-looking council are driving business and residential growth
I think it was Julia Roberts, in Pretty Woman, who said she was so excited that she was “peeing her pants”. Or something like that. Anyway, whatever it was that she said exactly, it’s how I feel about property investment in Birmingham right now.
As businesses continue to relocate to Birmingham, residential development is hitting records in the UK’s second city. Developers are powering ahead with building plans, anxious to satisfy demand from not only first-time buyers but also intensified interest from the UK and overseas investors.
In this article, you’ll learn why I believe the outlook for property investors who buy in Birmingham is so exceptional that makes it potentially the UK’s brightest property hotspot for 2018 and beyond.
Birmingham: a city in fast-track transformation
Birmingham is one of those rare cities that have the ability to transform themselves time and again. As HS2 edges closer, businesses are realising the opportunity of Birmingham: lower costs, a highly educated workforce, and fast travel times to London, the South, and the North of England. This is a heady mix on which the city is capitalising:
- Office space take-up is at record levels
- Shopping centres are being remodelled, refurbished, and recreated
- Retail and leisure opportunities are exploding
- The transport network is being upgraded and revitalised
- The local economy, helped by extraordinary city planning, is booming
The potential of Birmingham as a destination for property investors may never have been greater. It has a new regional mayor, looks likely to secure a national broadcaster as a prestige employer, and is racing towards the hosting of the 2022 Commonwealth Games. There is much happening for investors to be excited about in and around Birmingham.
Regeneration is driving a residential revolution
Regeneration in Birmingham is being undertaken on a grand scale. Millions of square feet of office, commercial, and retail space are being developed alongside thousands of new homes for a rapidly growing local population.
There are thousands of new homes under construction at present in larger developments. Hundreds more are being built on smaller acreages. Prime sites include:
- The area around Broad Street, which will house the city’s tallest tower
- Arena Central, where more than 300 apartments are being built
- Exchange Square, with hundreds of apartments and commercial near the new HS2 terminal
- The Jewellery Quarter, which will provide a mix of converted buildings and new apartments
Perhaps one of the most exciting city areas being redeveloped and upgraded for 21st-century living is Digbeth. Lombard Street and Connaught Square will provide modern, well-balanced, and eclectic property through mixed-use regeneration schemes.
If you want to see the exciting future planned for Britain’s cities, Birmingham is the place to be.
Forget concerns about an oversupply of office space
In many of the UK’s cities, investors are concerned about the oversupply of office space. There seems little need to worry about this in Birmingham. Though development of new office space has reached record levels in the city, so too has take-up. HMRC has just signed a new 25-year lease on expanded office space here, signalling increased confidence in the ability of the city to provide the workforce it needs well into the future.
We are witnessing unprecedented levels of relocation from London, with many of the nation’s (and the world’s) largest firms setting up regional, national, and international headquarters in Birmingham. And, while the financial sector is growing, so too are the industries that will make Birmingham a destination for young professionals:
- Growth in new industries (such as life sciences, creative, renewable energies, and other knowledge-based sectors) is above the national average
- With 6,000 tech firms employing almost 40,000 people, Birmingham is a major digital hub
I am extremely excited about the prospects for property investment returns in Birmingham. I think you should be, too. If you aren’t looking at Birmingham as a destination for your investment capital, you could be missing the opportunity of the century.
Live with passion