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Guess which UK city is in the midst of a housing bonanza?
February 12, 2015Article by Charlotte Ashton
In the heart of England, the city of Worcester is quietly undergoing a housing bonanza. Average property prices there shot up by 11.8% in the year to Q2 2014, according to data from Worcestershire County Council, with a 36% surge in sales behind the increase.
A new outlook
Property Frontiers is one company at the forefront of Worcester’s property boom, presenting 75 beautifully apportioned one and two bedroom apartments for investment, with an entry point as low as £74,950. Chief Executive Ray Withers has taken a personal interest in the city as a result of his schooling and now company’s involvement there. He comments,
“There is something about Worcester that’s captured my heart since I was a boy. It’s a wonderful city and has so much to offer. Of course, you hear Worcester and immediately think ‘cricket’ or even ‘sauce’, but they’re just two of several very well-known institutions to be based there. It’s a really dynamic community and is attracting a lot of young professionals, the majority of whom are looking for luxury rental accommodation in a prime location.”
The off-market Property Frontiers apartments will see an existing building given a whole new outlook, with construction work due for completion by the end of 2015. As well as young professionals, they are expected to attract students looking for luxury accommodation during their years at the nearby University of Worcester, which was the fastest growing university in the UK in the five years to 2010. In fact, the University of Worcester held the honour of recording the largest increase in applications for some 7 consecutive years.
Adding to the demand for housing from the increased number of students is the redevelopment of the city and the jobs being created. Worcester city centre will see more than £2 million invested in improvements over the next five years, while a £150 million shopping park that is currently being conceived would create over 1,000 jobs.
The new Worcestershire Parkway Station is set to further enhance the city’s prospects, with the government’s Growth Deal committing the funds to its creation. Intersecting the London, Birmingham and Bristol railway lines, Worcestershire Parkway will reduce the journey time to London to under two hours as part of a £17 million initiative.
These big plans have excited those looking to profit from property in Worcester and Property Frontiers’ apartments there are already selling fast. With excellent potential for capital growth and a large and growing rental market, the city is quietly becoming one of the UK’s favoured residential property investment destinations and with assured gross yields of 7% in year one, these new apartments from Property Frontiers certainly stand out from the crowd.