Posted 22 October 2015 by Keith Osborne
Each week we visit a different part of the country to discover what is happening in their local property market. This time, we head to the heart of the ‘Northern Powerhouse’, central Manchester.
Despite being a modern, thriving city with many of the attractions of London, property prices in Manchester remain relatively low compared to many other major cities in the UK, with properties in some parts of the city still going for under £100,000. But home prices in Manchester are rising, up 2.5% year-on-year according to the Land Registry, and look set to grow even further moving forward, particularly in central Manchester.
Central Manchester has a lot going for it – a new BBC Media City in Salford, a major extension to the MetroLink tram system, expansion of the local airport and plans to build a new £300m ‘city quarter’ to rival New York’s SoHo district.
Proposals have already been submitted to turn Manchester’s Greater Northern Warehouse into a ‘world-class’ £300m residential-led mixed use quarter which if approved will create a significant number of new jobs and drive visitor numbers to the heart of Manchester city centre.
But it is the government’s plans for a ‘Northern Powerhouse’ that really is set to fuel growth in central Manchester and beyond, with investment set to come from across the Atlantic or China to build 2,000 more new homes in Manchester, as well as commercial space.
Crucially for investors, the city has a noticeably young population, with 60% more 25-29-year-olds living in Manchester than anywhere else in the UK. This ‘golden demographic,’ combined with the prospect of capital growth as a result of the Northern Powerhouse, is just one of the factors behind significant levels of institutional investment in the city’s private rented sector, which is going from strength to strength.
Data provided by the Valuation Office Agency shows that average rental prices for homes in Greater Manchester have soared by 22.4% over the past 12 months, and appear to offer further room for growth.
With so much happening in the city, including a huge amount of redevelopment, it is unsurprising that Manchester was recently named by HouseSimple as the most likely city to see a property price boom in the next 10 years.
With the population of Manchester set to double over the next decade, housebuilders are moving in now to build a large number of new homes to help cater for an anticipated surge in demand.
New homes in Manchester
In the Northern Quarter, Aspen Woolf is marketing a development of 344 units called Angelgate, with views over the local area and the impressive Manchester skyline. This development will house a mix of one- and two-bedroom apartments, priced from £98,285, with a concierge, two-level fitness suite, landscaped gardens, car parking and retail. Find out more at http://whathou.se/IHnS04 ; 020 3176 0060.
Experience Invest is targeting buy-to-let purchasers at Brunswick Street, a new, high-yielding development which comprises 39 modern two-bedroom lateral, two-bedroom duplex and three-bedroom apartments in a contemporary style. Prices start at £136,372. Find out more at http://whathou.se/HLFale ; 020 7834 1113.
M J Gleeson is developing a selection of two- three- and four-bedroom homes at Grove Village in the Ardwick area of Manchester. Prices start from £99,950.
Looking ahead, The Mayfield Partnership is seeking a development partner to help bring forward the 24-acre Mayfield Quarter comprising 1,300 new homes, plus mixed commercial space.
Manchester-based Beech Properties has secured planning consent for 27 new homes above Pret A Manger on Cross Street in Manchester city centre. The office-to-residential conversion will be made up of one-bedroom apartments.
“One-bed starter homes are in high demand in Manchester city centre, both as starter homes and for professionals who work in the city and want a convenient, central base,” said Ed Rooney at Savills in Manchester.
Two planning applications have been submitted to Manchester City Council for 170 homes for market rent in Hulme by One Manchester. Dave Power, chief executive of One Manchester, says: “The 170 new homes will help in meeting the demand for new properties in the city.”
Proposals for a £33m development in the heart of Salford featuring 207 apartments and 13 townhouses, and for an eight storey-high tower containing 52 apartments and retail space, were approved earlier this month.
Finally, Harbur Construction has handed over the first of 18 new properties after completing the first phase at the Edenhall Grove affordable housing development on land off Howson Road, Orford. “The development provides high quality family homes for local people while making use of wasted space,” said Richard Hutchinson, managing director at Harbur Construction.
Take a look at a comprehensive list of new homes for sale in Manchester now.