The London property market has remained a major draw for investors with a record £4.98 billion investment being made during the first six months of 2017.
New research by international real estate advisor Savills shows that the investment in London’s commercial property went up by 17 per cent (first half of 2017) when compared to the corresponding period last year.
Asian investors remain the most active in the market, accounting for 50 per cent of turnover in the City so far, with an average deal size of £147.39 million. While European investors were responsible for only 25 per cent of the turnover, their average deal size was larger at £205 million, says Savills.
UK investors were responsible for 16 per cent of turnover, while activity from both US and Middle Eastern buyers has been relatively muted in 2017 to date at just a 4 per cent share each, says the firm.
As many as 64 deals were transacted in 2017, with an average lot size of £77.8 million. The 10 largest deals transacted in 2017 to date total £3.4 billion, compared with the 10 largest across the whole of 2016 which totalled £3.1 billion. With more trophy assets expected to be traded in the second half of the year, Savills says it is almost certain 2017 total turnover will surpass 2016.
The international real estate advisor says 64 deals were transacted in H1 2017, with an average lot size of £77.8 million. Demand for trophy assets remains strong this year, says Savills