In the present economic situation it is extremely important to ensure you have a well-balanced and risk-free portfolio. 

The heightened value of residential property in comparison to that of commercial space in the City has been evidenced by the Barratt purchase of the Department of Transport’s former offices.  The builder purchased the property, 76 Marsham Street in West London, with the intention of converting it into 60 luxury apartments. The property is one for which planning permission has already been granted for the offices-to-flats scheme, by Westminster Council. 

This month saw the opening of the Shard to the public; London’s latest distinctive landmark. The building appears to have made such an impression that it has formed the inspiration for a similar building to be constructed in Jeddah, Saudi Arabia. This isn’t a kind of ‘Shard franchise’, however, that will see similar buildings push their way up the world over. Rather, the Saudi building is looking to make its own mark. At one kilometre high. In case you were wondering, that’s four Shards, on top of each other. 

Reports focusing on 2012 statistics emphasised the noticeable influx of foreign investment into the London real estate sector, bringing the city into the top five in Europe in terms of real estate investment. It was a trend which could not have been predicted a few years ago, the capital’s popularity having been bolstered by the unfurling Euro zone crisis. But what does 2013 hold? Is it possible to predict where the market will turn next?

One of the largest real estate investment companies has just made an enormous £184-million investment to expand its portfolio. This investment was primarily retail focused with a 300,000-square-foot shopping centre in Ealing Broadway being purchased from Wereldhave for £142.5 million.  The Dutch real estate investment company, Wereldhave, originally purchased the Ealing Broadway mall in 2011, yet it is thought the sale to British Land was at a loss of £13 million.

“I must get some sea air” is an expression frequently heard by those of us living and working in London. It is different, invigorating, makes one feel healthy. Research carried out by Exeter University based upon the National Census 2001 did indeed reveal that the nearer people lived to the sea then the healthier they were. Long before there were ski resorts wealthy Victorians sought respite in the Alps in the belief that the cool, fresh mountain air would cure their ailments.

London continues to welcome new businesses as international companies see the capital as a vital step in their expansion plans. One such company is Skelia, which has recently acquired a London office whose focus will be on sales, development and project management. Skelia, while not a household name, is internationally known as an ICT (information and communications technology) and BPO (business process outsourcing) services company.

Since the recession in 2007 the number of businesses which have filed for insolvency has gone through the roof; this has led to a huge number of vacant properties. At present landlords are so worried about potential business tenants going bust, a six-month rent deposit has become the norm and in Mayfair 12 months is becoming more regular.

Investment within the commercial sector has picked up since last year, as noted in a recent report by Knight Frank. Offices in Central London have seen the strongest investment over 2012, the best year since 2007, this improvement being a result of a sudden increase in the number of purchases by foreign investors. 

A project by Great Portland Estates, at 33 Margaret Street, is set to be taken one step further by ISG, the company which beat off competition from Wates, Overbury, Mitie and Como to carry out a high-spec fit-out for property consultancy Savills.