Knight Frank (KF) reports a busy summer for the prime property market as potential property buyers browse for homes while on the move. 22% of UK property searches on the KF website were from mobile devices in May/June 2015, up from 14% last year and 10% in 2013.
Traditionally, says KF, the prime months for selling houses are March through to the end of June, with a second period of activity in September and October. These two seasons reflect the end of spring and school summer holidays.
However, KF has seen a change in recent years, with the market continuing through the usually quieter summer months. The number of properties sold by Knight Frank between June and August 2014 was in fact 25% higher than in 2013.
Rupert Sweeting, Head of Knight Frank Country, said:
“The increase in summer activity is a reflection on a number of factors including the popularity of holidays being taken in the UK and thus being able to see a house more quickly and the rise of the internet allowing holiday makers to browse their tablets and phones whilst relaxing.
“We are seeing this happen again this year principally as the Election made many buyers put their decisions on hold until after the result was known. As a result the market is 6/8 weeks “late”. We already have a high level of house bookings going forward this month and in August.”
On the commercial side, Knight Frank reports the sale of a student accommodation building in Liverpool for £36m – image above.
The international property consultants sold the freehold of the student accommodation property ‘Europa’, Liverpool on behalf of Aprirose to Knightsbridge Student Housing Ltd, for £36.35 million, reflecting a net initial yield of 5.25%.
The 127,951 sq ft purpose built property is let to Nicelook Limited guaranteed by Watkin Jones on a term of 15 years, providing a total income of £2,019,285 per annum, and has been fully let since construction. The 592 bedroom property is within close proximity to two Liverpool university campuses. The purchaser was not advised.
Shaun Roy, partner, Capital Markets team, Knight Frank, told Property Magazine International:
“In a stock starved marked fixed lease student accommodation investment opportunities are keenly sought after and as such this sale attracted considerable interest.”
Manish Gudka, CEO of Aprirose said:
“We acquired this property off market in the depths of the recession, attracted by its stable income flows linked to inflation. We were motivated to dispose the investment as it provides us a strong return with a low risk profile and allows us the opportunity to look at more core plus and value add opportunities leveraging off our expanding asset management platform”
Knight Frank LLP is the leading independent global property consultancy. Headquartered in London, Knight Frank, together with its US alliance partner, Newmark Grubb Knight Frank, operate from 370 offices, in 55 countries, across six continents and has over 12,000 employees. The Group advises clients ranging from individual owners and buyers to major developers, investors and corporate tenants. For further information about the Company, visit www.knightfrank.com