While it has received relatively few headlines in the mass media, Birmingham will host the Commonwealth Games in 2022. This is yet another feather in the cap of the U.K.’s ‘Second City’, a city which continues to move from strength to strength. With an economy valued at approximately GBP25 billion, and growing, the Commonwealth Games will bring an additional GBP750 million to the local economy. So, why was Birmingham chosen as the venue for the 2022 Commonwealth games?
Many people may fail to realise that Birmingham is within four hours of all major cities in the UK, with travel times to London set to fall to less than one hour with HS2. The ever-growing infrastructure, central location and massive regeneration programme have attracted some of the U.K.’s largest companies to the region. Recently we have seen HSBC, Deutsche Bank and auditing giant PwC relocate their headquarters to Birmingham.
In light of the 2016 Brexit referendum the pound as fallen significantly against leading currencies over the last two years. This has created an “opportunity too good to miss” for overseas investors who are pouring money into Birmingham’s regeneration. Of the GBP1.1 billion invested in redeveloping Birmingham during 2017 we know that a staggering 30% came from overseas. This trend is likely to continue for the foreseeable future as the city cements its position as a leader within the country.
Commonwealth Games athletes village
Just recently Birmingham City Council confirmed plans for a GBP350 million Commonwealth Games athletes village which will be located on the old Birmingham City University campus. The village will house a total of sixty-five hundred athletes and officials during the summer of 2022. Thankfully, unlike some other sporting venues left to decay, the village will then be converted into fourteen hundred new homes once the games are over. There will also be a care village for the elderly, retail and commercial space and a new community centre for Birmingham’s famous multicultural society.
The eyes of the world
This is the perfect opportunity for Birmingham to showcase its strength as the world watches. The city’s ongoing twenty year plan to regenerate the city centre will bring with it job creation as well as the creation of retail and commercial spaces. It will also be a great opportunity for the city to promote itself as a leading university city. Across four major universities and other world-class research facilities the city attracts over 60,000 students each year. With an impressive 49% graduate retention rate, Birmingham is a thriving, young city bustling with growth. As demand for student accommodation continues to rise, so has demand for housing for young professions. Some of the housing developments currently underway in Birmingham include:
Situated in the city centre this modern development is on the doorstep of the vibrant business arena. A rental yield of 4.9%, together with significant potential for capital growth, will ensure healthy demand from investors.
The Curve at Park Central is a residential development situated to the south of the city. The opportunity to enjoy tranquil park-side living just a stone’s throw from the city centre, within the heart of an urban renaissance, has prompted strong demand from investors. A strong rental yield of 5.17% complements the significant potential for long-term capital growth.
The release of further residential properties opposite The Curve at Park Central is a perfect example of excessive investment demand. Already property prices have increased by 4% since the initial launch in 2017 and there are high hopes for The Curve II at Park Central.