Find out what’s happening in the property investment arena both in the UK and internationally
Booming Birmingham comes out on top for GDP growth
September 1, 2016Article by Chelsea Battle
The latest prosperity index from Barclays has shown that every region in the UK is more prosperous than last year, reflecting a strong 12 months for the country as a whole.
The Barclays study, which was conducted before the UK’s historic Brexit vote in late June, paints a picture of an increasingly prosperous UK, with every region reaping the benefits of enhanced wealth. The study examined a huge range of factors, from measures such as average wages and small business growth rates to the state of the property market. London, naturally, emerged as the UK’s most prosperous city, but the South East certainly didn’t make the headlines when it came to GDP growth.
In fact, it was Birmingham that stole the show when it came to GDP growth over the past year, with a rise of 12.9% per capita. Ray Withers, CEO of Property Frontiers, has been operating in the city for a number of years. He comments,
“You can feel how much Birmingham is growing just by immersing yourself in the city. There’s a real sense of drive and purpose here. The business community is booming and whole areas are reinventing themselves by drawing in new and exciting start-ups, offering a wealth of leisure, retail and cultural pursuits for the city’s increasingly prosperous residents.”
Digbeth is one such area. Known as Birmingham’s creative quarter for its blend of independent businesses, pop ups, night life and vastly popular street food scene (the Digbeth Dining Club has won national awards on more than one occasion), the area is enjoying a newfound reputation as one of the city’s most exciting property hotspots. Tenants are flocking to be part of the local scene, immersing themselves in the delights of the Custard Factory, the quirky shops and the outstanding street art.
Naturally, where strong tenant demand leads, property investment opportunities follow and in Digbeth the newly launched Divine Collection is proving to be perfectly on trend when it comes to meeting both investors’ and tenants’ needs. Available from £165,000, the hand-picked selection of one and two bedroom apartments offer the very best living arrangements to those looking to make Digbeth their home, while at the same time providing investors with up to 6.4% gross yield.
Raising the bar
The increasing wealth of Birmingham’s residents is impacting on life in the city in many ways. Property Frontiers’ Ray Withers explains,
“As a city prospers, demand grows for higher value and better properties. This drives up standards across the property sector as a whole and particularly within the private rented sector, where tenants seek out homes that meet their aspirations in terms of the contemporary city lifestyle. Birmingham’s enhanced wealth means that we are raising the bar in terms of what’s being offered to tenants within the city. It feels good to be at the forefront of that process.”