London’s prime housing market bigger than New York’s, says new report
London’s prime housing market now stands out both in terms of the volume of prime sales and the scale of expansion, against other global cities including New York, a new report has found.
The global development report 2015 by real estate Knight Frank found New York and London continue to lead development trends, in terms of design, pricing and iconic architecture.
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Global head of research Liam Bailey however said London is ranked as the leading city for the global wealthy, with New York set to supplant it by 2025.
Specifically, the report found 6,250 homes worth between £1.3m and £3.3m were sold last year, compared to 2,721 in Manhattan.
For properties over £3.3m, there were 1,638 sold in London in 2014 against 796 in Manhattan.
In terms of prime property price growth, London has seen three per cent growth between the first quarter of 2014 and the first quarter of 2015, while New York saw a six per cent reduction.
Comparing five year price growth, London has risen 45 per cent against 42 per cent in New York. In the last ten years, London prime house prices grew 138 per cent, while in New York they grew by 78 per cent.
The report commented that “the range of current development activity in central London is extraordinary. In several areas surrounding the city’s prime locations, new urban districts are being created, with the King’s Cross scheme providing a case study in urbanism.”
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New areas such as South Bank are now considered part of the prime central London market, the report said, due in part to schemes of the calibre of NEO Bankside and One Tower Bridge; while established markets like Mayfair are being revitalised by schemes like Clarges Mayfair and One Grosvenor Square.