Urban land value in Manchester rises 20% higher than national average

 

The north and Scotland are seeing higher than average land value rises as strategic land acquisition becomes more competitive, with house prices climbing at a much slower rate.

While the value of greenfield land in the UK has only inched up by 1.7% over the past year, urban land is another story. Many major housebuilders are now looking to the north of England and Scotland to take advantage of the rising urban land values which are pushing prices up at a faster rate than the homes being built.

According to the latest research from Savills, Manchester is leading the way, with urban land values rising 24% over the last 12 months, while the rest of the UK on average saw an increase of just 4%. By comparison, house prices in the city went up by 8.6% over the same period, more than double the national average.

The report by Savills added: “The market has been gaining momentum with greater belief in the future for the city as development continues. There have been more land buyers bidding for sites, including housing associations who are bidding competitively on sites which were previously only of interest to the PLCs.”

Caution in the capital

Although greenfield sites haven’t seen the same level of growth, average values in Scotland have risen by around 4.2%, while the north’s greenfield plots grew by 2.7%, both of which are well above the national average.

House prices in these regions are more affordable and we forecast them to grow by 17-18% over the next five years, compared with 14% for the UK,” the report said.

The likes of Barratt, Persimmon, Crest Nicholson and Miller are all considering opening new divisions in the north, and some other smaller cities across the country are also seeing strong urban land value growth and attracting more interest from housebuilders. Meanwhile, there is more caution surrounding London after housing land values dropped 2% in the last 12 months.

Lucy Greenwood, Savills research analyst, said: “Manchester and Birmingham continue to outperform the UK average and are now joined by smaller locations such as Luton, Coventry and Chelmsford in seeing double digit annual price growth for urban land.”

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

ba-

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.

Login

Not a member? Sign up for free

street

Urban land value in Manchester rises 20% higher than national average

Example

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.