Developers are set to pile into the Thames Valley region after Sir Howard Davies’ Airport Commission recommended the building of a third runway at Heathrow.
The report, which said the economic benefits of a new runway at Heathrow would outweigh the environmental harm, is not binding and will be responded to by the government before the end of the year.
If the government follows the report’s recommendation, the building of a new runway at Heathrow would likely trigger a surge in occupier and housing demand in towns across the Thames Valley region, as the new long-haul routes served by the expanded airport would boost the air freight industry.
But Landid development director Claire Freeland said the Airport Commission’s report would bring development to areas such as Uxbridge, Reading and Slough “regardless” of how long the government took to respond to the report’s findings.
“The significance of this report cannot be understated but there is already a lot of excitement in the region,” she said. “The runway is another factor attracting people to the area.”
Lambert Smith Hampton’s head of Thames Valley, Nick Coote, said the boost to the area would be “huge”.
“Slough, for example, could see its fortunes turn around as the brave bring office development to the area”, he said.
Savills’ director of commercial research for the M25 region, Steve Lang, said existing landowners in the area would accelerate development on the news. But warned it could be “too early for developers to enter the region for the first time”, given the coming political battle before the runway can go ahead.
David Sleath, chief executive of SEGRO, a vocal supporter of the campaign for a new Heathrow runway, added: “If the government can get this done, it will be an excellent catalyst for property development in the area.”
