The night tube is coming (soon)
As part of our ongoing research into London we recently commissioned Dataloft to investigate the expected effects of the 24 hour tube. In highlighting the areas expected to see the most change, we see a few old friends pop up once again, including Stratford, Finsbury Park and Willesden Green. If Boris Johnson and the unions can ever sort this mess out here’s what we expect to happen:
Stratford and East Village
Once again Stratford looks to be one of the main beneficiaries. It is an area that was given Olympic-scale investment with both infrastructure and new homes. With the Jubilee Line, Central Line and the Overground as well as Crossrail, Stratford is the new hub for East London. The homes built for the Olympics are welcoming tens of thousands of new residents whilst the Westfield shopping centre brings day-trippers by their thousands on a daily basis. Stratford was already on the up but now with the advent of the 24hr tube (at some point) it is poised to become even more appealing for investors, young professionals and those seeking the nightlife of London in an aspirational environment.
Stratford features on two of the night tube lines making it one of the standout destinations in Zone 2 (Zone 3 before the Olympics). It also matches all of the following criteria:
- Average sale price of a flat below the London average
- Average price growth for a flat over last five years less than 40%
- Average rent for two-bed apartment below £350 per week
- Time saving on journey from Piccadilly Circus over ten minutes
- Proportion of residents aged 20-29 above London average
- Proportion of residents privately renting above the London average
- Proportion of full-time students higher than London average
- Cost saving of over £15 compared with a taxi fare, based on two people sharing a taxi.
These were the eight criteria as set out by our research partner Dataloft and Stratford was the only area of London that answered yes to all eight.
Stratford's East Village has been sensitively managed by landlords Get Living London with the distinct objective of not allowing the area to become an identikit facsimile of other developments (I'm looking at you Battersea) with their chains and ghost towns.
For those still disinterested in the developed Olympic Park, Maryland, which is just around the corner, is the best of both worlds and an area likely to see some pretty stratospheric growth in house prices.
Next week we are turning our attentions west to Willesden Green where we expect to see some big changes to house prices and rental prices as investors move in.