Issue 10, July 2022
Vision MANCHESTER
OFTEN IMITATED, NEVER EQUALLED.
contents 6
Alasdair Walker: Marketing Director Amy Marshall: Chief Writer/Editor Nevena Djuranovic: Art Director Isidora Mladenovic: Brand Strategist
What is a good rental yield in 2022?
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CEO Letter Top tips for achieving a healthy rental yield Q2 Dubai Market Report
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The Investor’s Journey with Thirlmere Deacon
82 DEVELOPMENTS
UK Q2 Market Report Interview with Adam from IPG
84 Investing in the Manchester property market
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Dear Investors, Family and Friends,
AS
2 full months in advance of the building being ready to move in. With
we cross the midway point
tenants confirmed to be in place for
of 2022, it’s becoming
the next twelve months at least,
clear who will emerge victorious over
investors here are in a position to ride
the coming months: Those who focus
out any instability or market
on the fundamentals, and not the
fluctuations over the next year.
distractions. Q2 also saw significant progress across Just a few short years ago, as the UK
most of our sites with completions
emerged from the first lockdown, no
starting to take place across the
one could have predicted the
Midlands in Birmingham and North
phenomenal property market activity
West in Liverpool and Manchester,
we have witnessed. At some points, the
many happy investors who are now
sales and lettings markets have moved
starting to enjoy the income from
at two different speeds but in 2022
investments made over recent years.
they have both accelerated onward with impressive growth figures. With
In terms of new launches, the most
wider economic headwinds now having
exciting is a brand new concept with
some impact, the sales market is
award-winning developer Beech
finding its new ‘normal’ as price
Holdings and their City Co-Living
growth figures stabilise. Whilst both
brand designed to bring a unique
the sales and lettings markets in the
experience to city centre living in and
UK are woefully undersupplied, lettings
building communities rather than just
are clearly now more affected. The
nice properties. We’ve already seen a
surge in demand and urgency in the
number of our VIP investors secure
lettings market has been seen by many
their units ahead of the official launch
of our investors first-hand at the
in the Autumn.
Ancoats Gardens development in Manchester which is due to complete in August and is already fully pre-let -
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Focus on the fundamentals, not the distractions.
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Looking forward to Q3 we’ll no doubt
market is in a period of transition,
see further movement in the UK
finding its new ‘normal’ growth rate,
market with interest rates and
post-pandemic.
mortgage products, but the fundamentals still remain the same:
The second half of 2022 holds an
Demand for property is greater than
opportunity for the astute investor,
the supply. There’s only one simple
those who focus on the fundamentals
solution to solve the ever-growing
and see opportunity whilst others
‘housing crisis’…which is to build
might be distracted.
more homes! Warmest regards, With this in mind, taking a long-term view and making sensible, wellinformed decisions investors can currently use their money to beat
Stuart Williams, CEO, Founder
inflation and achieve a return as the
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Dear Investors, Family and Friends,
Q
developments selling out in record times, the fastest being an entire
uarter 2 of this year was
tower in Emaar Beachfront which was
possibly the busiest I’ve
100% sold within 2 minutes of
experienced since being in the world of
launching, clearly demonstrating the
real estate!
appetite for the Dubai real estate market is back and continuing the
Demand for UK property continues to
upward trend.
be incredibly high, especially within the British Expat communities across
We’ve also been working hard behind
the globe. More and more overseas
the scenes forming new relationships
residents are buying aggressively for
with overseas banks - one, in
later in life with the majority of
particular, we’ve been working with
investors opting to take 2-3 properties
during their development of a brand
at a time and maximising the power
new mortgage arm specially designed
of leverage.
for buy to let investors based in the GCC region who are investing in the
In Dubai we’ve witnessed entire
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UK. The first phase will be launched in
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Entire developments are selling out in record times.
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August to Kuwait-based residents,
developers in both the UK and Dubai
followed by the UAE, Oman, Qatar and
who strive to deliver high-quality
Saudi Arabia later in the year - great
homes to both tenants and owner
news for all our GCC buyers!
occupiers alike.
In Dubai, the remainder of 2022 is set
We have a number of new launches in
to continue to be record-breaking.
the coming months and look forward to
With prime luxury developments selling
continuing to do what we do best:
out within hours of being made
Helping investors generate wealth not
available, the only way investors can be
just for today or tomorrow, but for
sure to gain access to the very best
many generations to come.
opportunities is to register their interest as early as possible. TD is proud to be working alongside some of the leading property
Kindest Regards
Oliver Mohsen-Taheri
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DUBAI MARKET REPORT
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While there are many aspects that as a
the picture has remained extremely
property investor you may weigh up
promising in recent times, with record-
when looking to purchase in a
breaking figures for both sales and
particular location, how the market is
rental yields in almost all areas
performing generally in recent times
of the city.
can give an extremely insightful indication as to what’s to come,
Let’s take a closer look at how the
especially in terms of the trends that
Dubai property market performed in
can then be deciphered for your own
Q2 2022, to find out what the figures
portfolio as a result.
suggest lies ahead for existing or
In Dubai, it’s no secret to our blog
potential investors.
readers or social media followers that
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Dubai Q2 2022
Takeaways
KEY
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1 Between June 2021 and 2022, there were 37,116 property transactions in Dubai which is a 60.78% YoY increase -PROPERTY TRENDS
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2 37.43bn worth of property sales happened between April 1st and June 1st 2022 -DUBAI LAND DEPARTMENT
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3 Average annual rent in Dubai reached AED 82,000 (£18,125) in May 2022 -CBRE
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4 Downtown Dubai averaged the highest rent of any area in the city at AED 166,891 (£36,890) giving a MoM increase of 4.6% -CBRE
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5 Rents increased by an average of 16.2% in the year to April 202 -CBRE
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6 The population of Dubai rose to 3.5 million in April 2022 - the UAE government is aiming to raise this figure to 5.8 million by 2040 -THE NATIONAL NEWS
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WHAT DO
the latest statistics tell us about Dubai’s property market?
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The overall picture for Dubai Q2 2022
world’s cranes are currently stationed
clearly demonstrates a continual
in Dubai as the transformation work
upward growth trend. The statistics
takes shape.
about the population growth of Dubai certainly underpin all of the above
As more people flock to the city to
findings.
work, visit and invest here, the demand for property naturally rises. The good
Developments are happening in almost
news for those who are yet to invest
all available areas of land in the city, as
here is that since the full plans for the
the government is not only pushing but
city are yet to reach fruition, there is
is succeeding in making Dubai a global
still plenty of opportunities to secure
destination for business and
property in Dubai at a favourable rate.
innovation. At present, a quarter of the
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UK MARKET REPORT 30
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The UK property market is in a period of transition, whilst the demand for property to buy or rent remains skyhigh, there is an air of caution creeping in against the backdrop of economic uncertainty and the cost-of-living crisis. Given these factors, is now a good time to invest in buy-to-let property in the UK?
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house prices UK
here to stay?
Property price growth across the UK is
values are dropping. Attention seeking
currently at a buoyant 10.5% according
headlines talking of a potential market
to the latest data from Halifax. The
crash are inaccurate. Whilst the UK’s
acute imbalance between property for
property market finds a sustainable
sale and the number of buyers seeking
pace in the current climate following a
homes remains, confirmed by Zoopla’s
period of frantic activity over the past
latest data that highlighted purchase
few years there will undoubtedly be a
demand being 58% higher than the
slower rate of price growth. For
5-year average whilst the supply of
investors, a relative amount of
homes for sale to the market is 40%
predictability is a positive thing, more
below the 5-year average.
steady and consistent increases in prices will be welcome for those
However, where the UK’s property
planning ahead.
market previously seemed to be entirely unaffected by wider economic
As always, savvy investors will look to
and political influences throughout the
secure property for below-market value
pandemic, it is now expected to
in areas set to see above-average
resume more ‘normal’ levels of activity.
growth – in 2022 it is absolutely still
Industry experts expect the market to
possible to find these opportunities in
cool slightly in the coming months and
the UK if you know what to buy and
many predict price growth will likely
where.
slow but that doesn’t mean property
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A SUPPLY STARVED RENTAL MARKET:
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Rental prices in the UK are rising at
most of any capital appreciation,
the fastest rate ever recorded, up 11%
together with the lack of homes being
year-on-year. Experts similarly expect
built each year to meet the overall
this current rate of price increases to
demand for housing – property in the
slow as the cost-of-living crisis
UK is in constant high demand and is
continues to hit household incomes
set to be so for many, many years to
over the coming months. This will not
come.
result in falling rental values but instead a steadier rate of growth, with
A key driver of the rental markets in
tenants choosing to stay longer. Zoopla
urban settings has been the return of
recently reported that UK tenants are
those who left the city centres during
now staying on average an additional 5
the pandemic who are now returning
months compared with five years ago.
en masse as many companies return to
The average tenancy length is now 75
largely office-based working once
weeks, up from 51 weeks at the start
more. One central London estate agent
of 2017. The UK has a dire shortage of
said two-fifths of those actively
property available to rent, and many
looking for the rental property were
landlords have chosen to sell their
London returnees.
properties in recent years making the
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KEY STATS
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10.5% £24,000
Strong price growth: Annual average property price growth in the UK. (HALIFAX)
House prices are
higher than a year ago. The average UK house price was £278,000 in March 2022. (OFFICE FOR NATIONAL STATISTICS)
UK HOUSE PRICES HAVE RISEN
74% in the last 10 years
RISING RENTAL VALUES:
UK rents are rising at the fastest rate on record and are up 11% year-on-year (RIGHTMOVE)
(HALIFAX)
4.4m 49% households use the private rented sector in England
LONGER TENANCIES:
UK tenants are now staying on
average an additional 5 months compared with five years ago (ZOOPLA)
reduction in properties available to rent in 2022 compared to 2019 (PROPERTYMARK)
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Outlook:
UK PROPERTY MARKET
Demand continues to outstrip the
those looking there are some excellent
supply of homes available for sale and
future-proof opportunities on the
let across the UK but there are early
horizon.
signs of caution with wider economic factors having an impact on decision
The second half of 2022 promises to
making. There is likely to be a
deliver strong returns for those who
disparity between what certain sellers
already own investments given the
are expecting to achieve and what
sharp rises in rental yields across the
buyers are willing to pay, particularly
country. And whilst the market is likely
in the second-hand property market.
to be less frenzied, it will remain busy by historical standards. Those seeking
Investors are increasingly looking to
to secure an investment in the coming
off-plan options that come with more
months may have the opportunity to
realistic price tags, in ideal locations,
buy remarkable assets whilst the
where rental demand is strong and for
mainstream narrative has heads turned.
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INTERVIEW WITH
Adam Ross IPG
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Stuart recently sat down with Adam
and regenerated but Adam highlights
from Integras Property Group (IPG),
that there has been a shift towards
the developer behind several
other parts of the city that are now
impressive buildings including Bastion
seeing widespread regeneration and a
Point in Liverpool city centre, to
sharp focus has returned on the city
explore the Liverpool property market
centre, which is the location of Bastion
and why it has so much to offer
Point. As any area is redeveloped and
investors in 2022.
regenerated, the local economy receives a boost from the new
IPG originally began working in
opportunities and new businesses that
Liverpool around 10 years ago, back
open and the population increases, in
then much of the investment was
turn boosting demand for the property
poured into the South of the city, and
in an area.
that area continues to be developed
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Liverpool is a historic city with a long, rich and diverse past that is now experiencing widespread regeneration, arguably undergoing a transformation unlike any other key city in the UK.
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When asked if due to all the new developments across the city, that there might be an oversupply? Adam had the following input: “Liverpool is a great hub for the people learning in the local universities; the last figures stated there were around 70,000 students in the city. Historically they would have lived in student accommodations but we’re now finding parents are buying properties for their children to live in, normal residential apartments in prime locations.” The key for investors seeking to be a part of Liverpool’s transformation, those who want to benefit from the uplift the city is set to experience in the coming years, is location. The south of the city has. Been a keen focus for developers and whilst that part of the city continues to offer opportunity, the north of the city where there is less market saturation potentially offers a better option for investors seeking off plan investment in 2022.
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IPG’s latest development, Bastion Point is well-positioned to make the most of the lack of modern apartments to the north of the city centre. Adam confirms, “Bastion Point is just a stones throw away from the city centre, five- or six-minutes walk from the Liver Building.” For investors Bastion Point strikes a perfect balance; “you’re not buying at city centre prices but are just moments away and because the units are available off plan investors are able to secure them at a fraction of the open market price at the moment.” Pricing is an incredibly important part of the process at IPG, ensuring a site is viable and also that the off-plan unit prices will be attainable for investors, and offer good capital growth prospects; “We look at reports and forecasts to calculate completion prices and get a RICS valuation to calculate selling prices and whether or not a site is viable. Ultimately, does it make sense for investors?”
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On the merit of purchasing off-plan, Stuart adds that there will be “some inherent growth through the construction phase” which means early investors often experience the greatest returns. Confirming the merit of getting in early, Adam confirms “Liverpool prices are continuously rising, steadily.” Whilst rising interest rates will have some effect, the rising prices will work towards combatting any impact. Focusing on IPG’s development Bastion Point, Adam shares that the 67 units in the first of the four towers that make up the development have now sold out, and the second tower is now available with units selling fast. On development progress he shares that “all the planning is in place, there’s an archaeological dig onsite (at the time of interview) and then we’ll start piling in groundwork. We’re expecting to be on site in July, which we’re really, really excited about.”
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WHAT IS A GOOD RENTAL YIELD IN 2022?
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As Steve Jobs once famously said, “If
make a profit on your investment in
you look really closely, most
the shorter term, rather than having to
‘overnight’ successes took a long
wait until you eventually decide to sell
time.” Here at Thirlmere Deacon, we
your property to see any notable
are keen to follow that sentiment,
returns.
since we prefer to take a long-term view of our investments, factoring in
We’re focusing our rental yield analysis
what the property will be worth down
on the UK and Dubai, as although
the track to really harness the value
5,400km of terrain separates the two,
potential.
both happen to be key destinations for us with offices in each location.
That said, we also appreciate that short-term gains are also important for
Interestingly, there are positive trends
investors in the form of the rental
for both sale and rental yields in Dubai
yield. At the very least, a rental yield
and the UK, but for completely
should cover your expenses as a
different reasons. So let’s take a closer
landlord. But for the more lucrative
look.
yields, there is serious potential to
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What is a good UK
rental yield?
The general consensus is that a rental
include Longmore House in
yield of at least 5% in the UK is
Birmingham which is achieving yields
considered ‘good’, although, at
of 6-7%. In Derby Court in Liverpool,
present, the UK average yield stands at
our clients are achieving 7%. Predicted
3.63% according to Track Capital.
yields for one of our newest opportunities, Vision in Manchester
However, another way to look at low
stands at 7.5%. All of these are healthy
rental yields, is that often even a ‘low’
yields and exceed the current UK
rental yield will often generate a
average rental yield.
better return versus keeping your money in the bank, where low-interest
The ONS also reported that rents rose
rates prevent your savings from
by 2.7% in April 2022 compared to the
growing.
same time last year, signalling the largest annual growth rate since 2016.
But as with anything, why stop at
The average UK rent now stands at
average? For instance, developments
£1,103 per calendar month.
Thirlmere Deacon has purchased
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UK AVERAGE RENTAL YIELD HOTSPOTS
June 2022 62
NG7 (Nottingham) 11.3% NG1 (Nottingham) 11.1% BD1 (Bradford)
10.6%
M14 (Manchester) 10.1% NE6 (Newcastle) 9.8% YO10 (York) 9.8% SA1 (Swansea) 9.2% SO17 (Southampton) 9.2% CF37 (Cardiff) 9.2% SR1 (Sunderland) 8.7%
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DATA:
Track capital
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It’s clear from our own findings and
is in stark comparison with purchasing
the available data, that yields far above
a doer-upper property as just one
both what is considered to be good and
common example.
higher than the UK average are attainable in almost all corners of the
Although property remains a trusted
country. Where rental yields fall flat, is
tangible form of investment, as with
when the potential for the property
any kind of investment you are looking
and the area of itself are limited.
to make, it pays to put in such research to maximise the potential returns.
At Thirlmere Deacon, we carefully consider the area itself in terms of
That’s why we aim for rental yields
recent investment projects,
above 6%, with our Hull Central
connectivity to work and lifestyle
Apartments having a projected yield of
opportunities, and the overall appeal
8%. As the above data shows, it’s
the property would provide to tenants.
certainly possible to harness a strong
These elements are then combined
rental yield in the UK and avoid those
with excellent build standards,
dreary averages, so long as you know
ensuring minimal maintenance costs
what to look for and where.
over the lifespan of the property - this
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WHY ARE
rental yields rising in the UK?
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First and foremost, the housing
For investors who are tuned into what
shortage that has been looming over
tenants want out of a property, they
the UK for some time now hasn’t gone
can command far more for rent. But
away. In fact, we’re falling way behind
beyond having a good location and
our targets to meet the demand for
even a well-presented apartment,
new housing, and with fewer options
things have changed in the eyes of
available for buyers, rents continue to
renters since the pandemic.
climb.
In essence, now remote or hybrid
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working is here to stay, tenants want
especially. Tenants want the autonomy
accommodation that fits both their
of being able to do business in the
work and home life in equal measures.
same building in which they can reside.
Therefore, quality build, stylish
Plus, now they are not forking out on
interiors and a plethora of amenities
expensive season tickets just to get to
such as a networking hub, gym or
work, professionals have more money
outdoor terrace are becoming more
to invest in where they live, and it’s
popular within city centre apartments
quality they are after.
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What is a good DUBAI
rental yield?
Yield figure-wise, it is a similar picture
As just one example, our Peninsula
in Dubai in that a ‘good’ rental yield is
development in Business Bay has a
considered anything above 5%.
projected yield of 8%.
However, developer Select Group
Although both the UK and Dubai have
reports typical rental yields in Dubai
their individual merits, low entry rates
are currently between 5% and 7%,
paired with high rental yields in Dubai
which is much healthier than the
remain an extremely attractive
average UK as a whole, factoring in
proposition for investors.
Dubai is also a concentrated area versus an entire country.
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DUBAI AVERAGE RENTAL YIELD HOTSPOTS
May 2022 74
Discovery Gardens 8.87% International City 8.80% Liwan 8.52% Dubai Sports City 8.14% Dubai Studio City 8.12% Remraam 8.15% Al Khail Heights 7.92% Dubai Production City
7.78%
Motor City 7.74% Dubai Silicon Oasis 7.57%
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DATA:
Property Monitor
Across the board, less than a handful of locations in Dubai achieved anything below the ‘good’ 5% average rental yield in May 2022. This means virtually all locations in the city produced a healthy if not excellent average yield. As some of the developments, we are personally involved in reach completion, and as the rest of the city continues to take shape, it will be interesting to see how these figures then shift in the coming years especially against the backdrop of so much excitement in the Dubai property market as a whole.
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WHY ARE
rental yields rising in the Dubai?
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With so much construction work
about the UAE’s safety, political
happening in Dubai, it is clear that a
stability, lower cost of living, the
property shortage is not the reason
opportunity for business and even the
behind the climbing value of property,
vast range of amenities the country has
and subsequently the rental yields that
to offer - people from around the
can be achieved here.
globe are viewing the UAE in a whole new light, and Dubai remains very
Instead, it is the city’s vast population
much at the epicentre of this sudden
growth which is driving up interest and
interest surge.
therefore rental yields in the city. With a further two million residents
The good news is that while rental
expected to be living in Dubai by 2040,
yields are rising here because the city
everyone who comes to work or even
is yet to be completed, newer investors
stay here on a short-term basis needs a
can still profit in the vicinity as well as
place to stay.
in the longer term, especially with so many fantastic areas to discover across
Given everything we’ve highlighted
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Dubai.
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for achieving TOP TIPS
a healthy rental yield
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Imagine yourself as the tenant - would you want to live there, and does the property and surrounding area give you everything you need to thrive?
Look at the long-term potential of the area, especially if renovation or investment works are currently underway.
Study market trends and research, which will help you understand what you can achieve in the short term, ensuring you can manage your everyday costs.
Don’t be afraid to leave your comfort zone - as an example, locations such as Hull have fantastic yield potential and major investment has transformed the city and its reputation in recent years.
Consult with our London or Dubai office to find the right investment for your needs - we can help guide your investment using our vast knowledge of the industry and current tenant markets.
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THE INVESTOR’S JOURNEY WITH
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From its inception, Thirlmere Deacon’s mission has been to offer investors authentic and comprehensive advice, conducting thorough due diligence on the exclusive opportunities made available to investors ensuring the potential for financial success is maximised. Offering a consultative approach, Thirlmere Deacon’s advice is tailored to an investor and their unique circumstances and ambitions.
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1. Initial discussion Our initial, no obligation discussion, is an excellent first step and a way to explore the driving factors behind an investment. Whether an investor is making their first purchase or their tenth property investment, this conversation provides valuable insight and allows our consultant to provide accurate advice.
2. Consultation Having understood an investor’s timescales and goals, Thirlmere Deacon will create a tailored investment plan highlighting the properties and locations that match those ambitions. These options are discussed via zoom, video call or face to face if appropriate.
3. Securing an investment Once decided, the identified investment can be reserved. 88
4. Progress to completion Thirlmere Deacon also works closely with legal teams to oversee the conveyancing and ensure their client is well-informed throughout the process. With off plan purchases, Thirlmere Deacon provides regular construction updates to investors so that they are aware of build progress and timelines.
5. Property ownership At the point of completion, Thirlmere Deacon is on hand to help an investor connect with letting and management professionals as necessary.
6. Ongoing investment advice Our relationship with investors rarely comes to an end when their purchase completes, we are available to provide ongoing investment advice in the pursuit of financial success. 89
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Developments
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Vision, MANCHESTER
FROM £180,000
A magnificent new addition to
to the hotel-style reception, world-
Manchester’s skyline, Vision is a
class amenities, and meticulously
striking new landmark development in
designed accommodation, this
the very centre of the city.
prestigious development exudes luxury and sophistication that truly delivers a
Perfectly located in the M1 postcode
superior quality of life to residents.
area, Vision is just moments from the shops, restaurants, transport
Each of the luxurious and
connections and business districts.
contemporary apartments has been designed with the resident in mind,
From the extraordinary building façade
with practical layouts and quality
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finishes throughout, beautifully complemented by high ceilings and expansive windows that provide spectacular views over the city and beyond. Vision boasts an extensive range of facilities spread over 3 floors within the development including a concierge, gymnasium, yoga/spin studio, cinema, residents’ lounge, co-working spaces, coffee shop and juice bar. Arranged over 37 floors, there is a selection of studio, 1-, 2- and 3-bedroom apartments available with prices starting from £180,000 and an expected rental yield of up to 7.5%.
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KEY POINTS • Iconic 37-storey tower in the heart of Manchester city centre • M1 postcode, located a 1-minute walk from Deansgate • A selection of studio, 1-,2 and 3-bed apartments • World-class amenities – Gymnasium, yoga/spin studio, cinema, residents’ lounge, co-working spaces, coffee shop and juice bar • Yields up to 7.5% with considerable rental price growth forecast • Manchester property prices set to rise by 15.6% by 2026 • Experienced developers with an excellent track record
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Bastion Pointl, LIVERPOOL
FROM £189,950
Just moments from Liverpool city
Liverpool offers some of the most
centre and the Albert Docks World
impressive rental yields in the UK and
Heritage site, Bastion Point enjoys an
it is expected that properties in
idyllic position with culture, amenities,
Bastion Point will achieve a 7.5% net
transport connections and of course
rental income. Not just limited to
the infamous River Mersey all
long-term tenancies, Liverpool has a
on the doorstep.
thriving short-let market that could prove to be even more rewarding
Designed with tenants in mind, each of
for investors.
the apartments will offer the latest
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modern features and home comforts.
Furthermore, with robust price growth
The building boasts a residents’ roof
predictions across the North West
garden, concierge, and bike store. With
region of the UK, Liverpool is
parking spaces available to purchase at
predicted to see superior property
an additional cost.
price growth in the coming years: the
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latest house price forecasts for the North West region being 18.8% over the next 5 years. Liverpool is a city that’s experiencing widespread regeneration with over £15billion being pumped into existing projects and those in the pipeline. The local city council is committed to the widespread regeneration plans which include the major redevelopment at Liverpool Waters which is set to significantly transform the area. Liverpool is home to the UK’s fastestgrowing city centre population, with the number of people living in the city increasing by 181% between 2002 and 2015. The population is continuing to grow at a rapid rate and the North West as a whole is expected to see its population grow by 24% over the next 5 years. One of the Northern Powerhouse cities, Liverpool stands out from neighbouring locations due to its exceptional capital growth trajectory. The city-wide regeneration together with the continuously growing population makes Liverpool an interesting and potentially lucrative prospect for investors.
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With attainable property prices, strong predicted rental yields and exceptional potential for capital appreciation Bastion Point is an excellent opportunity for any prudent investor – just 67 units are available in the development. Set for completion in the second half of 2023, this residential development is being constructed by a trusted and experienced developer with an excellent track record.
KEY POINTS • New-build two-bedroom apartments • Prices from £189,950 • Top-performing UK rental market • Expected rental yields of over 7.5%, and over 21% on the Short-Term-Let model • 18.8% 5-year house price growth forecast (Savills, North West region)
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Co-living MEDIA CITY
FROM £219,950
Tailored to meet the demand for rental
UK’s market leading co-living expert,
property that offers more than just a
this new development will offer high-
place to live and is more community-
quality self-contained apartments and
centric, City Co-Living in Media City
carefully thought out community
will be the first of its kind in the
spaces, with a host of exclusive
Salford area, following considerable
facilities on site.
success at previous sites in nearby Manchester.
This new development is located within close proximity of the University of
Being designed and constructed by the
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Salford and is also just a 10-minute
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walk from the UK’s largest media and
Locally there are many waterside cafés,
tech hub and will serve as the perfect
bars, and restaurants. And for residents
place to live for the many young
studying and working in Manchester
people who study and work in the area.
city centre, the Metrolink is right
MediaCity and Salford Quays is home
outside the front door, transporting
to over 250 businesses, including large
residents into central Manchester
and well-known brands such as
within minutes.
Kellogg’s. Over 13,000 people work in the area.
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KEY POINTS • The first co-living development in Salford • Prices starting from £219,950 • Expected rental yields from 7% • Close to University of Salford and MediaCity • Designed with community and sustainability in mind
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EllingtonHouse DUBAI
FROM 1.5M AED
Positioned in the idyllic Dubai Hills Estate, Ellington House is an elegant 12-storey building, set in luxurious surroundings. Beautifully designed, the light and spacious apartments enjoy unhindered views from spacious balconies looking out over the Dubai Hill’s Golf Course and across the city. Modern and minimalist yet soft and natural, this
development has been carefully considered from inception to ensure residents will enjoy the finest quality accommodation in a community built with both luxury and sustainability in mind. A selection of 1, 2 and 3-bedroom apartments are available, each generously proportioned, and finished to exacting standards.
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The extensive on-site amenities include a leisure, lounge and lap pool with a pool spa and separate children’s swimming pool. There are indoor and outdoor fitness centres, yoga areas, changing rooms and spa facilities including a steam room and sauna. The
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development’s clubhouse has a game zone, dining and lounging area and a separate kid’s clubhouse with children’s outdoor play areas. The activity garden includes mini-putt and a BBQ. The Dubai Hills Estate is a sought after location for families and professionals to
reside with many local amenities including the Dubai Hills Mall and top schools in the area. Just moments from Ellington House, The Dubai Hills Golf Course is one of the finest in the city with pristine fairways.
to the heart of Dubai, whilst being a sanctuary of tranquillity, surrounded by luscious greenery. Many of the city’s finest attractions are within easy reach with Downtown Dubai just 15 minutes away.
Ellington House is exceptionally well connected
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KEY POINTS • Located in the prestigious Dubai Hills Estate • Luxurious and spacious apartments • 1, 2 and 3 bedroom properties available • Extensive amenities and facilities including swimming pool, fitness centre and clubhouse • Freehold ownership • Payment plans
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Portman THE
DUBAI
FROM 700,000 AED
Set within the magnificent Jumeirah Village Circle, The Portman is a stunning new development that will offer residents a luxury lifestyle within a beautifully designed, modern building surrounded by luscious landscaping. An elegant building, The Portman features contemporary design throughout with bright rooms,
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high ceilings and a real sense of light and space complimented by neutral tones and timber finishes. The Portman boasts a variety of on-site amenities including a pool deck with cabanas and sun loungers, a sauna, fitness studio, bicycle parking, children’s playroom and many more features and facilities for recreation and relaxation.
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Constructed by award winning Ellington Properties, no detail has been missed through the design process and only the highest quality finishes will be delivered, as per the exacting standards Ellington is so well known for. Dubai’s Jumeirah Village Circle is centrally positioned meaning it offers easy access to the rest of the city. Within the Jumeirah Village Circle itself, there are multiple commercial centres and entertainment venues being constructed to further enhance the luxury lifestyle on offer in the area.
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KEY POINTS • Within the most sought-after rental area in Dubai • Prices start from 700k AED 1 Bed • Award winning interiors • 8-10% Rental Yields • 15 Minutes to Burj Khalifa • 7 Minutes to Dubai Hills Mall • 17+ Amenities including leisure and lounge pool • Constructed by the winner of Best luxury Real Estate Developer in Dubai 2021
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BeachHouse DUBAI
FROM 4.5M AED 122
The latest development from award winning developer Ellington, is the stunning Beach House, positioned on the iconic Palm Jumeirah Island. Together with breath-taking sea views, this new luxury development will enjoy its own private beach and extensive onsite facilities whilst benefitting from immediate access to the many amenities on the iconic palm itself, all within a short distance of many of Dubai’s
finest attractions and business centres. Arranged across two magnificent buildings, apartments within the development range from generously proportioned one-bedroom properties with beach views to 4-bedroom apartments that boast private pools. Designed to perfection, each apartment will be finished to
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an exceptional standard and include white marble details and top of the range Miele kitchen appliances. Offering an oceanfront paradise, residents will enjoy world-class on-site amenities and of course, have access to the development’s private beach. The Palm Jumeirah is one of Dubai’s most recognised locations, the tree-shaped island is well known for its first-class hotels, stunning residences, and highly regarded restaurants. An established community and one of Dubai’s most popular places to live, the area is filled with things to do from the Palm Jumeirah Boardwalk, popular for its views of the Dubai coastline to Beach clubs with spas and a thriving nightlife.
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KEY POINTS • Located on the iconic Palm Jumeirah Island • Exclusive private beach • Prices from 4.5m AED • Extensive on-site facilities • Award-winning developer
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INVESTING IN THE
Manchester
PROPERTY MARKET: What to expect
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For any existing investor or anyone
However, at present, there is a current
looking to invest in property for the
supply and demand issue for rental
first time alike, it is highly likely that
properties in Manchester, with 75%
Manchester is on your radar - and for
fewer properties available in February
good reason.
2022 versus the same time last year.
As the UK’s third most visited city,
So what does the current picture mean
Manchester is a vibrant hub of the
for your property investment that you
north that has something for everyone.
currently own in Manchester, or plan
With a population of just over 2.8
on owning if you invest with us here at
million residents, the city is home to
Thirlmere Deacon? Here’s what you
five universities, two premier league
need to know.
football clubs and even its own international airport. Manchester also has a thriving economy, making the city hugely appealing to those wanting to work or study here. Of course, everyone who does reside in Manchester needs a place to live.
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MANCHESTER PROPERTY:
an overview . . . . .
Greater Manchester population: 2.8 million
Average property price (May 2022): £249,576
Average rent PCM (May 2022): £878
Voted the ‘Most Livable Place To Live’: Global Liveability Survey
36% increase in demand for property in Manchester City Centre in Q3 2021
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The North West of England has seen record increases in house price valuations, soaring to 15% in the twelve months between February 2020-2021. Between April 2021-2022, figures rose a further 11%, with the average property in Manchester now costing £249,576.
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Research has shown that approximately
companies to sign significant rental
340,000 people are leaving London
agreements for the city centre. All at a
year on year, with Manchester being a
time when commercial property
hotspot for relocating Londoners.
elsewhere in the country (particularly
Given some of the awards Manchester
in town and city centres) has struggled.
has to its name, not to mention the
What we can ascertain from such
significantly lower property prices
results is that property across the
versus the capital, it’s perhaps no
board is in demand in Manchester. The
wonder this is the case.
city has managed to deliver incredibly strong figures against the backdrop of
Property in Manchester is certainly in
a tumultuous time globally, proving its
demand, and like much of the UK, the
resilience. With so many individuals
city is experiencing a supply and
and companies honing in on the city
demand issue which is further pushing
for new opportunities, growth in the
up rental prices. Even commercial
residential property sector is unlikely
property in Manchester is being
to slow down anytime soon.
snapped up, with internet provider Telecom Group one of the latest
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GREATER MANCHESTER AREA
overview
Bolton
Salford
Bury
Stockport
Manchester
Tameside
Oldham
Trafford
Rochdale
Wigan
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Manchester, particularly the city
tourism purposes. This level of diverse
centre, acts as a central hub for many
and constant economic activity creates
of the outer towns and cities found
a steady backdrop for any investment,
within Greater Manchester as a whole.
because the area isn’t ‘up and coming’,
The city is also in close proximity to
or even reliant on just one main draw.
Liverpool, Sheffield, Preston and
Instead, Manchester City Centre and
Warrington.
the surrounding areas have it all. Compared with investing in an
As an investor, what this fact boils
unknown location, or even a location
down to is that there is always going
that doesn’t have as much investment
to be a demand for the amenities and
nor global interest surrounding it,
opportunities found within Manchester
Manchester makes for a solid choice
itself. People flock to the city for jobs,
and the recent spike in property
education and even for leisure and
valuations is testament to this.
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Manchester Property ROi: What Returns Can I Expect On My Investment? As with any location you’re looking to
Here is an overview of how the
invest in, the returns are going to be
Manchester property market has
based on a number of factors. Mainly,
performed recently, including the areas
the specific area the property is
that achieved both the highest and
located in, along with the property
lowest rental yields.
type and condition. Over time, the returns will shift upwards or downwards depending on how these combined specifics fair in the current climate.
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Manchester PROPERTY INVESTMENT Areas with the lowest ROI 144
AREA
AVG ASKING PRICE
AVG ROI
M41 (Urmston)
£341,440
3.1%
M21 (Chorlton)
£363,578
3.3%
M25 (Prestwich)
£295,086
3.4%
M33 (Sale)
£381,891
3.5%
M29 (Tyldesley)
£229,205
3.6%
Positioned approximately five miles
Tyldesley in M29 boasts average
Southwest of Manchester City Centre,
property prices that are £20,371 lower
Urmston shares a border with
than the Manchester average property
Merseyside, and has excellent rail links
price of £249,576. However, the rental
making it ideal for commuting. Though
yields for Tyldesley average just 3.6%.
with a higher than average asking price
So although property in the M29 area
for Manchester as a whole at £341,440,
is far more attainable, over the longer
and lower rental yields averaging 3.1%,
term, profits are likely to be muted
property in M41 Urmston offers fewer
compared with other areas of Greater
returns for investors.
Manchester.
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Manchester PROPERTY INVESTMENT Areas with the highest ROI 146
AREA
AVG ASKING PRICE
AVG ROI
M14 (Rusholme)
£216,727
7.1%
M7 (Salford)
£198,747
6.5%
M50 (Salford: MediaCityUK)
£209,565
6.0%
M6 (Seedley)
£201,547
6.0%
M5 (Ordsall)
£208,499
5.9%
So where should property investors
have lower average purchase
look in Manchester, if they want to
points than the areas of
achieve excellent rental yields?
Manchester with the lowest rental yields. This is in addition to
It’s perhaps no surprise that the
having lower prices across the
areas clustered around Manchester
board than the average cost of
City Centre and Salford have
Manchester property.
achieved the highest rental yields in recent times, averaging between
Therefore, any of the above
5.9% in M5, up to 7.1% in M14.
locations are ones to watch as an investor interested in the
However, one aspect that certainly
Manchester property market.
is unexpected is that these areas all
**Data sourced from Property Data 147
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Have you missed your opportunity
to invest in Dubai?
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Based on the latest statistics
8%, and can be secured with us for a
highlighting why Dubai is an excellent
30% deposit. So, this is as little as
investment opportunity, you may be
£38,400, minus any other applicable
feeling either excited about having
fees and expenses.
already entered the market or perhaps disheartened that you hadn’t got in
You’ll notice that both these figures
sooner. However, the key aspect to
are significantly lower than in the UK,
remember about Dubai is that it’s not
where the average house price
London nor is it New York or any of
currently stands at £278,000 as of
the other cities that have been
March 2022, and average house
unattainable to most investors for
deposits have reached £59,000. If
far too long.
Dubai didn’t already prove to be an attractive proposition on this front
What we mean by this, is that in Dubai,
alone, Business Bay features in our top
it’s still possible to purchase a property
10 list based on the areas of Dubai
of excellent build standard in a highly
which clocked the highest average sale
desirable location, all within an
price in May 2022.
attainable price point. Yes, even in 2022! As a notable example, The Peninsula in Business Bay Dubai has a starting price of £128,000, with an expected yield of
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DUBAI
apartments
top 10 expensive areas to purchase MAY 2022
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1. City Walk
AED 3,203,300 (£708,072)
2. Al Barari Apartments
AED 2,640,413 (£583,649)
3. Jumeirah Beach Residenc
AED 2,366,672 (£523,140)
4. The Hills
AED 2,329,136 (£514,842)
5. Dubai Creek Harbour
AED 2,211,406 (£488,819)
6. Downtown Dubai
AED 2,123,482 (£469,384)
7. Dubai Hills Estate Apartments
AED 2,023,970 (£447,387)
8. Business Bay
AED 1,872,573 (£413,922)
9. Mohammed Rashid Bin City
1,730,895 (£382,605)
10. Al Habtoor City
AED 1,659,154 (£366,747)
Data source: Property Monitor - based on average sale prices. 153
WHAT IS DRIVING THE DEMAND FOR DUBAI PROPERTY?
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It’s certainly a bold move for a
more people than ever before can now
government to announce that they aim
work anywhere so long as they have an
to make their population numbers
internet connection. With its year-
swell to record figures in the millions,
round sunshine, low entry points and
bearing in mind Dubai’s population
endless opportunities to do business,
count was only a mere 34,000 back in
Dubai is an attractive proposition for
the 1960s. In reality, in order for any
those who want to achieve a better
location to attract a mass population
quality of life as working professionals,
increase, the area must be appealing as
families or even retirees.
a place to live and work. In an article published by Forbes Luckily, Dubai ticks all the boxes here.
entitled ‘Why The World’s Wealthy
In fact, the city’s ambitious plans are
Have Quietly Moved To Dubai’, one
simply a reflection of all that Dubai
entrepreneur who previously resided in
represents, with world-defying
LA, also cited the reduced crime levels
structures and even its own man-made
as a major attraction of relocating
islands that display innovation at every
to the city.
turn. This is just scratching the surface of what Dubai and the UAE as a whole
Furthermore, in a June 2022 survey of
has to offer.
Dubai residents on Numbeo, Dubai scored 83.73 points out of a maximum
Let’s also not forget that as the world
100 points for safety, compared to just
begins to open up again following a
49.02 for Los Angeles in the same
tumultuous couple of years, it’s safe to
category, which would certainly
say that people have been rethinking
suggest a widespread agreement on
their options - including where
this one single point alone.
they live. A notable example here is the shift towards remote working, meaning
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REASONS
Dubai
is such a popular place to live
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While the rest of the world is experiencing a cost of living crisis, Dubai residents do not pay income tax, meaning they get to keep significantly more of their salary making living costs far more manageable. In addition, economic growth is also expected in the UAE as a direct reflection of higher oil prices.
There are several visa options for investors ranging from 6-months to 10-years, creating plenty of opportunities for people to live and work in the UAE.
Dubai recently also held the delayed Expo 2020 in 2022 which was the result of $7bn of investment, signalling widespread approval of the city on a global scale.
Tourism is a major industry, with Dubai International Airport overtaking Heathrow Airport for passenger numbers in 2022, returning to 74% of pre-pandemic passenger levels, versus just 25% for Heathrow during the same period.
Previous controversial laws surrounding unmarried couples living together and inheritance taxes were relaxed in 2020, thus extending the appeal of the city to new audiences.
The country is both politically and economically stable.
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In summary For investors who are yet to secure
All of which prove the resilience of
their slice of the Dubai property
Dubai and its property market, creating
market with us, there’s plenty to feel
a promising outlook for what’s to come
optimistic about, especially given the
in Q3 2022 and beyond. Whether you
incredible results the city has achieved
are a first-time or existing investor, our
across the board recently Remember,
team out in Dubai would be more than
all of this is against the backdrop of
happy to help you secure the right
global economic challenges, in which
opportunity for your portfolio.
Dubai has not only shown promising signs of recovery but has thrived throughout.
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Beach House DUBAI
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London
office
info@thirlmeredeacon.com + 44 (0) 2039507939 Lansdowne House, Berkeley Square, Mayfair, London, W1J 6ER
Dubai
office
dubai@thirlmeredeacon.com +971 (0) 4 818 7277 Floor 30, Oberoi Business Centre, Business Bay, Dubai, United Arab Emirates