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From high speed trains to high end property, Birmingham has it all!
March 13, 2014Article by Ray Withers
The much-publicised High Speed Two (HS2) rail link between Birmingham and London, which will make journeying between the two possible in just 48 minutes, has attracted considerable attention since the scheme was first conceived. However, HS2 is only one part of a raft of measures that will see the transport infrastructure of England’s second city transformed over the next few years.
Birmingham’s infrastructure is in being changed beyond recognition. Over the coming years, as well as a number of enormous construction and regeneration projects within the city, the transportation system’s makeover is set to include a £600 million update to Birmingham New Street station, a £128 million Midland Metro extension and linkage with the tram line at Snow Hill, plus some £181 million of capital expenditure on various major transportation schemes by the local council.
While the space-age design of the proposed new station at Curzon Street is still being debated, a similarly dramatic redevelopment is being planned for New Street Gateway, which has recently been granted £88 million in government funding. More than 5,000 jobs are set to be created by the massive project, which will see the station’s capacity double as it is transformed into the epitome of a bright, modern transportation hub.
As if that weren’t enough, Birmingham International Airport will also be undergoing a £65 million expansion project, which will see the runway extended to 3,003 metres in length. From 2014, the runway extension will open up direct flights to the Far East from Birmingham, adding to the city’s already considerable attractions as a hub for international businesses. It follows expenditure of more than £260 million on improvements to the airport over the past decade.
New homes for new families
Birmingham’s improvements have led to increasing demand for private rented accommodation across the city, as more and more families move to the metropolis as a result of its enhanced economic and employment opportunities. The trend is representative of that being experienced across the country, with the latest English Housing Survey revealing that the private rented sector has now grown to include 4 million households.
With demand for private rented accommodation in Birmingham on the up, buy-to-let investors have set their sights firmly on the city. Luxury studio, one and two bedroom apartments are much in demand, such as the new high end development being offered by award-winning property investment experts Property Frontiers. Chief Executive Ray Withers explains the site’s particular attractions,
“This unique property is set to achieve expected rental yields of up to 9%. Investment is available from just £38,000, with apartment prices of between £95,000 and £159,200. These are incredible prices for apartments of such a high specification – the development is around £1,000 per square metre cheaper than comparable sites.
“One of the things we are most excited about is that Property Frontiers is able to offer investors an off-market, pre-launch discount of 10%. This means that anyone investing before the development is officially launched to the open market on 1 April 2014 can benefit from between £9,500 to £16,000 in instant equity.”
As Birmingham’s regeneration and transport infrastructure plans continue to come to fruition over the years ahead, attracting ever increasing numbers of workers to the city, demand for property is expected to rise steadily. For developments such as this new release from Property Frontiers, this equates to further price rises expected pre-completion in 2015. It’s easy to see why buy-to-let investors are so keen to snap these properties up!
To find out more about high yielding buy-to-let opportunities in Birmingham, contact Property Frontiers today or call +44 1865 202 700.