Last month I presented to clients of Boodle Hatfield (solicitors) on the strength of the property market in prime central London (PCL) after the changes to stamp duty in the March Budget and the threat of annual charges to “non-natural” persons.
“PCL” to “SP”
When I started work in the 1970’s prime central London was Mayfair. Now PCL makes up a far larger share of the golden London post codes, so much so that “super prime” is the new PCL and the most up and coming “SP” is once again Mayfair.
SPEED & VALUE
Recent sales – both within weeks of launch – of an immaculate £7.2 5 m / 3 bedroom apartment in Mount Street at £3,500 p.s.f. plus the sale of a maisonette overlooking Mount Street Gardens (£13.5m) which had its own front door; indicates the demand over supply that exists today for Mayfair.
Government should be aware however that the heat of the market has cooled from overseas buyers who are becoming increasingly concerned as to their attitude to foreign investors.
This can be significant to Mayfair – Wetherell data of sales over the last 12 months shows buyers in Mayfair as
• 30% British
• 25% Indian
• 13% Middle East
• 13% European
• 13% Russian
• 6% Far East
Although the “elephant in the room” is that we had no American buyers it should not be forgotten that 70% of buyers emanate from overseas.
£150M FOR SALE
Currently at the printers is Wetherell’s latest “Finest Properties” featuring £150m worth of Mayfair’s best houses and apartments.
Over the last 7 years we have sold £1bn worth of Mayfair property and see the next 10 years as the most exciting Mayfair decade for a century.
With an average Wetherell Mayfair sale since 2005 at £8m and with a market share of 30% of house sales; Wetherell see the reversion of offices back to town houses and mansions as a continued bonus to the area.
150 NEW HOMES
There has been no new residential development in Mayfair for over 8 years and it is exciting that there are now plans either consented or on the drawing board for over 150 new residential flats in the area.
“In the business world, the rear-view mirror is always clearer than the windshield” said Warren Buffett
Government – both local and national. Economies – both national and international and world-wide events could all affect the current strength of PCL.
The current strong market is pushing Mayfair up the charts of the “SP” postcodes.
A harder market would increase the appreciation of the values of Mayfair and its infrastructure of history, culture, entertainment, hospitality and community.
The Mount Street Christmas Lights Switching On Ceremony is Thursday 22nd November 2012 @ 6:15 pm