Docklands News

Hamptons has revealed that the number of millionaire postcodes in London has risen again in 2022, with the average house price in nearly half of the capital's districts now over £1m. Analysis shows that 41% - or 113 - of the capital's 274 postcode districts are now £1m-plus areas, up from 24% a decade ago. The data shows how millionaire neighbourhoods are now spreading out from Zone 1, where the average house in every area has cost at least £1m since 2017, to new postcodes in Zones 3 to 6. New entrants this year in Zone 2 include Bethnal Green, where the average house price rose from £894,580 in 2021, to £1.03m in 2022. In the former dockland area of Wapping the average house has reached £1.09m, up from £972,840 in 2021. Hamptons' senior analyst David Fell, it is unlikely that many new neighbourhoods would join the seven-figure club next year, given the low expectations of price growth. 

London Evening Standard  

New data reveals that house prices are rising fastest once again in and around city centres, and falling in some suburbs, as the Covid "race for space" goes into reverse. During the pandemic, lockdown restrictions and the shift to home working drove stronger house price growth in suburban and rural areas. However, analysis by Halifax found that since the beginning of this year, property prices in cities have climbed by 9.2%, but prices in surrounding areas have risen by 7.9%. Andrew Asaam, Halifax's mortgages director, said: "As daily life started to get back to normal for many, the opportunity to live in cities became more attractive again, driving up demand." Halifax found that house prices in Manchester have risen by 11.5% so far this year, but just north of the city, prices in Bury are only 1.5% higher. In Scotland, prices in Edinburgh have increased, on average, by about 12.9% in 2022, compared with a rise of 6.1% in the outskirts. There were some exceptions however. In the North East, house price growth in Newcastle and Sunderland underperformed compared with surrounding areas. 

The Times   The Daily Telegraph  

New analysis shows how areas with high numbers of cash buyers and mortgage-free homeowners are the most immune to a house price crash in the UK. Hamptons ranked every local authority in England by six factors, including the share of mortgage-free homeowners, the share of cash buyers, and the pace of house price growth since the end of 2019 to find where house prices will be most protected from price falls over the next two years. The London Borough of Kensington and Chelsea, where an average home costs £1.39m, was named as the place that is best protected from house price falls. Here, 69% of homeowners are mortgage-free, compared to 54% across England and Wales. Two-fifths of buyers (43%) are also purchasing in cash, meaning their spending power will be unaffected by rising mortgage rates. The second most-protected property market is South Lakeland, in Cumbria, where more than two thirds (68%) of homeowners are mortgage-free, with 42% of buyers purchasing in cash. The buyers that are borrowing are using mortgages worth only 29% of the property's value on average. Three of the top 10 areas are in the South West – West Devon, East Devon and Stroud, where homes cost £305,580, £359,150 and £339,740 respectively. 

The Daily Telegraph  

Major lenders have started to reduce the cost of their fixed-rate mortgage offers following the appointment of Rishi Sunak as Prime Minister. HSBC reduced rates on some of its fixed-rate mortgages by up to 0.11% and up to 0.22 on tracker mortgages, while Accord Mortgages lowered selected rates, including those targeting first-time buyers, by up to 0.53%. Meanwhile, Virgin Money also cut rates, with the lowest at 5.49% based on a five-year fixed rate for a buyer with a 25% deposit, paying a £1,295 fee. Adrian Anderson, of mortgage brokerage Anderson Harris, said it appeared that there had been more stability in the mortgage market since it became clear Mr Sunak would replace Liz Truss. He added: "Obviously we are still anticipating the Bank of England base rates to continue to increase because the country is still grappling with inflation. However, a lot of the fixed-rate mortgage pricing that we are currently seeing has already factored in a lot of increases." 

The I  

Plans for a pair of residential skyscraper at Blackwall have been rejected. SimpsonHaugh's hybrid planning application, backed by developer EID (General Partner)would have seen the demolition of two 1990s office blocks at the former East India Dock and their replacement by two towers, one of 36-storeys and the other of 30. The taller tower would provide 716 student homes while the other would have comprised 150 build to rent homes. The application also included outlines designs for a new data centre, as well as a building with flexible workspace, community space and possibly a swimming pool. The scheme was blocked by Tower Hamlet’s Strategic Development Committee, which voted five to two to reject the application – despite council officers’ recommendation to approve the scheme. Planners at Tower Hamlets Council had said the scheme ‘had the potential to knit the townscape together’ through improved public realm and pedestrian links. However, councillors disagreed, stating that the towers would not fit with the scale and character of the local area and would have a detrimental impact on the conservation area, which includes a Grade II-listed dock wall and the Grade II*-listed East India Dock House by the site.

Architects' Journal (20/10/2022)  

Developer Landsec and the Morden College charity have confirmed that they are looking into selling the site of their planned Morden Wharf development, less than four months after Greenwich Council granted planning permission for towers of up to 36 storeys, containing up to 1,500 homes. A spokesperson for the project said: “We’re proud of the masterplan we have created at Morden Wharf with renowned architects and landscape designers and are now looking for a specialist partner to deliver the consented scheme, including a new riverside park, Thames path, 1,500 homes and commercial spaces". 

853 (18/10/2022)