Asian investors are pouring cash into London commercial property


The fall in sterling since the EU referendum has made it cheaper for foreign investors to snap up deals in the UK, with London offices top of the shopping list.

Asian investors spent a record £3.2bn in the third quarter of this year on London commercial property, making up two-thirds of the total £4.8bn invested.

The figures from property services company CBRE show that investors from Asia have spent a total of £6.4bn so far this year on offices in the capital, a sign that overseas investors haven’t been deterred by the UK’s vote for Brexit.

Two iconic city towers have been sold to the region this year, making up a good chunk of the total. The Leadenhall Building, often referred to as the ‘Cheesegrater’, went to Hong Kong’s CC Land for £1.15bn in March. This was followed by the sale of the ‘Walkie Talkie’ skyscraper, which was sold for around £1.3bn to Hong Kong’s Lee Kum Kee in July, the largest ever single building transaction in the UK.

Safe haven

CBRE’s head of City investment Stephen Pearson said: “Pricing has remained firm for trophy assets in the capital and the continued high levels of demand are likely to be satisfied by the availability of stock, especially in the City.”

Many Chinese investors are looking to move cash out of their home country and diversify their portfolios after announcements that they would be subject to greater capital controls on investments. And London is seen as a safe place to park their money.

CEO of property consultancy LSH Ezra Nahome said: “Considering all the political turmoil we’ve seen, both the volume of activity and the performance of UK commercial property in 2017 has exceeded even the most optimistic of forecasts from the start of the year. A cheaper pound and the fact that the UK’s occupier markets have held up well in the wake of last year’s Referendum has been crucial to this.”

The north has also seen a rise in general commercial property up-take over the past year.


Photo: iStockphoto

Highgrove Mews

High Net Yield Freehold Houses

  • Commutable to London (27 mins to central Paddington station)
  • Rental demand extremely strong with large industry presence in Reading
  • Freehold with 4% net yield

£284,955 - £457,000

St Petersgate – Stockport Manchester

New Launch - Stockport Manchester, apartments from £160,000

  • Discounted launch prices from £160,000
  • Excellent transport links with 3 trains per hour to London Euston and only 9 mins journey to Manchester Piccadilly
  • Experienced development team

Assured Rent Housing Association Leases

Assured Rent Housing Association Leases

  • Assured rent & no rental voids
  • Tenant damage cover & newly refurbished inline with requirements of a corporate sitting tenant
  • Free property and lettings management

From £62,000

Emerging Birmingham Commuter Town With Properties From Just £104,000

The emerging Birmingham commuter town where properties are selling in an average of just 24 days

  • A collection of 62 two bedroom apartments and 28 one bedroom apartments.
  • DE14 is one of the fastest selling postcodes in the West Midlands.
  • 23 minute train journey into Birmingham New Street Station.

Properties from £104,000

Mill, Stockport

The Northwest's emerging property hotspot

  • Discounted off-plan 2-bed prices from £162,000
  • Completion date - Q4 2021
  • Rental yields - 6% plus

Discounted off-plan 2-bed prices from £162,000

South Central – Birmingham City Centre Apartments

Highly anticipated 28 storey launch in Birmingham City Centre with an impressive roof garden and communal facilities.

  • 154 units across 28 storeys
  • Residential multi-media community room, gym, roof garden and sky cinema
  • Excellent future connectivity via the metro system to other key transport hubs and locations around the city

from £205,800


Talk to us

Speak to our UK property experts today: 

+44 (0) 333 123 0320

Open from 9am-6pm GMT

+852 9865 4446

Open from 9am-6pm HKT

Stamp Duty Calculator


Unlock members only investment opportunities and full development details. Join now – it’s free, quick and easy.


Not a member? Sign up for free

London commercial property

Asian investors are pouring cash into London commercial property


By submitting your details via this online form you agree to be contacted via email/phone/SMS by Direct Marketplace Ltd t/a BuyAssociation in relation to property investment and property developments . We do not share your personal details with third parties.  To view our full Privacy Policy click here.