Property in the Olympic zone in London is becoming more attractive to real estate investors hoping to cash in on the demand for rentals during the 2012 games and beyond.
The vast transformation of the Stratford area of East London and the huge investment in its infrastructure is also making London’s Olympic zone a highly sought after area for professionals seeking rental property.
One of the latest projects to be launched is the Stratford Halo that claims to offer investors an attractive investment opportunity with strong rental yields. The development overlooks the London Olympic Stadium and is situated at the entrance to the Olympic Park close to the new Westfield Stratford City shopping centre.
The area has some of the most ambitious new mixed use developments in the country, confirming the lasting changes to the fortunes of the area and its property sector.
Stratford has a strong rental market particularly among professional people who want to be in easy reach of employment hubs such as Canary Wharf and the City, according to the sales team at Genesis which is selling apartments.
They say that typical rental yields in the area stand at 5 to 5.5%, representing a better return for the investor than many cash or equity investments. Rental yields in London and the South East are the highest in the UK according to figures from FindaProperty.com’s latest rental index and property prices in East London have risen by 25% since 2005 and ongoing investment in the area is predicted to give rise to continued uplift in values.
The Stratford Halo comprises a total of 704 new homes across five buildings, as well as retail, commercial and leisure space and workspace studios. Of the 410 homes available for private sale, there is a range of one, two and three bedroom apartments and duplex penthouses, many of which benefit from views towards the Olympic stadium, Canary Wharf and beyond to the City of London skyline. The tower, which rises to over 132 metres, is lit at night creating a prominent local landmark.
The apartments include video entry systems, CCTV, a 24 hour concierge and secure, private underground parking and are situated in a riverside location. Residents have the use of various outdoor spaces including a landscaped courtyard and a new park as well as three sky gardens within the tower itself.
Stratford now has some of London’s best public transport links meaning a speedy commute into Central London, the City and Canary Wharf. It is served by the Jubilee and Central lines on the London Underground, the Docklands Light Railway and over land rail services, including the High Speed domestic rail services that will allow commuters to travel into Central London in just seven minutes. In the future, Stratford will have a station on the Crossrail line and Eurostar international services to Paris and Brussels will stop there.
‘East London property has already seen a strong appreciation in value since London was awarded the Olympics and this trend is set to continue as the area is developed further,’ said Simon Howard, head of sales at Genesis.
‘The local rental market is buoyant with many professional people wanting both to take advantage of Stratford’s excellent transport links, as well as live in a buzzing neighbourhood enjoying the Olympic spotlight. The improved long term prospects for Stratford make it an attractive choice of location for buy to let investors,’ he added.