
London is a city characterized by economic and political stability, high international demand for real estate, a stable labour market, lack of bureaucracy and a developed transport system. In addition, elite educational institutions are located here. The London property market is often referred to as a "safe haven". Investors from all over the world are buying housing and commercial properties here both to rent property commercial London and for resale.
In London, you can earn income from all types of real estate: it is profitable to invest in apartments, student housing, and commercial facilities (offices and shops) in this city.
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Commercial facilities are offices and shops
Office rentals in central London are in high demand. Foundations and private buyers from the USA, Germany and Asian countries are massively acquiring offices and shops in London. Buying commercial real estate in London turns into a stable and profitable business, which is explained by the following reasons:
- lower acquisition costs compared to the purchase of housing (lower stamp duty for land);
- the lease agreement is concluded for a long time, so on average for 10 years the object will bring a stable income.
Both secondary premises and offices in newly built buildings are in demand. Some companies rent huge premises.
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Office space to rent in London is in demand, primarily from IT companies and representatives of the media industry, as well as banks, industrial enterprises and various firms. Popular areas include North Oxford Street West, Mayfair and North Oxford Street East.
As for the profitability of stores, according to CBRE data, the rates of such facilities are lower — an average of 3.5% in central London.
Liquid offices and shops are expensive, but they bring much income in monetary terms. Such facilities are also beneficial because you do not have to worry about finding tenants for many years until the contract expires.
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