Norway chooses London over New York as top investment destination

 

One of the world’s largest sovereign wealth funds, worth $1trn (£7bn), has upped its investment into London property marking it as one of the most important cities in Europe.
[crb_image link=”https://www.buyassociation.co.uk/advice/property-investment-starter-course/” image=”https://cdn2.hubspot.net/hubfs/1717782/Asset_Store/WebCTA/cta.jpg” align=”left”]
The Norway wealth fund, which uses the country’s oil and gas production to fund investment into international stocks, bonds and property, focuses on 10 global locations where it expects to make the most positive returns, and the England’s capital has just taken top spot ahead of New York.

London received 22.8% of the fund’s investments into unlisted property last year, of which the total amount invested was $1.9bn (£1.4bn). New York received 21.5% of the fund’s property investments last year, while Paris took 19.1% of the total.

The fund, which co-owns Regent Street in London, is currently undeterred by Brexit and expects the city to continue to grow in terms of population, jobs and trade.

London will remain important

Karsten Kallevig, CEO of Norges Bank Real Estate Management, the property wing of the Norwegian fund, said: “We don’t know on what terms the UK will leave the (European) Union. In many ways, for us, that is not something we need to have a view on.

“What I need to have a view on is whether London will continue to be one of most important cities in Europe. And I think it will.”

Last year saw the Norwegian wealth fund invest in prime central London, including major investments in Piccadilly, Oxford Street and Princes Street, despite recent headlines pinning prime central London as a depleting sector at the moment, proving that perhaps investors perceive the downward trend to be a temporary blip.

The fund also made an investment in unlisted property in Asia for the first time, in Tokyo, and could make future investments in Singapore. Regarding Tokyo, Kallevig added: “Our Tokyo investment was in line with our strategy to build a global portfolio of high-quality assets that we believe will produce good long-term return.”

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

London

Norway chooses London over New York as top investment destination

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.