Overseas investors hunting trophy assets in London are expected to drive capital growth of 9% by year end.
BNP Paribas Real Estate forecasts the best returns will be in the West End and City, where 13% growth is predicted.
Capital growth will be strongest in the West End, it said, where increases of 10% are on the cards.
This quarter boasted the largest transaction of the year so far, with Cathay Life’s £585m acquisition of the Walbrook Building, EC4.
Nearly £3.7bn was transacted in Q1, the highest first quarter in central London since 2007, with nine of the top 10 deals driven by overseas investors.
“With other trophy buildings coming to market shortly, such as Broadgate West, and activity from overseas buyers set to continue, in particular from North America and Asia, the outlook for central London investment remains positive,” said BNP Paribas Real Estate’s head of investment Simon Williams.
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Click here for the full report: http://www.realestateforachangingworld.co.uk/2015/03/investing-london/
