Streatham A local market review - CBRE
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Streatham A local market review
Streatham snapshot London overview
Streatham is well served by public In the post-recession recovery period
transport with trains, tubes and London’s housing market has performed
strongly, outperforming the wider UK by a
buses going almost anywhere in significant margin. Prices across the city are
London. Currently more now 36% above their previous peak. Some of
affordable than nearby areas of the strongest growth occurred in 2014 with
annual growth peaking at 21% in August.
Clapham and Balham, it is Towards the end of the year and moving into
definitely up and coming with 2015 activity has slowed and growth started
new eateries and retail provision to cool. However, this is something we
anticipated and welcome an orderly
springing up on the high street. slowdown. Fears of a London house price
bubble have subsided and the market is
maintaining sustainable and robust growth,
with 9% inflation in the year to May 2015.
Moreover, activity in the new build market
remains extremely strong and demand is
high, with 67% of the 51,000 new build
homes under construction already sold. This
is the highest absorption rate of new build
stock in recent years.
London’s new build market
60,000 80%
70%
50,000
60%
40,000
Private units under construction
50%
30,000 40%
30%
20,000
20%
10,000
10%
0 0
End 2007
2001–2006
average
End 2008
End 2009
End 2010
End 2011
End 2012
End 2013
End 2014
Q1 2015
Sold Unsold Proportion Sold (RHS)
Demographics and demand Streatham Hill lies in the south of the Tenure profile
for homes borough and accommodates approximately
5% of its population. In 2011 this stood 100%
The population of Lambeth currently stands at 14,260 having increased by 4% since
90%
at 318,200 having increased by 20% since 2001. Homes in Streatham are now in high 35%
Proportion of households
2001. The population of the borough is demand and the area is experiencing a 80%
42%
expected to hit 335,000 in 2021, an increase wave of gentrification and it has a much 70%
of a further 5%. As a result of this growth higher proportion of privately owned and
the number of households in Lambeth rented homes compared with the rest of 60%
increased by 10% between 2001 and 2011, the borough. Across Lambeth 64% of units 50% 30%
and by 2021 it is forecast that there will be currently being built have been sold off 32%
148,000 households in the borough. This plan and only 1% of those completed in 40%
represents growth of approximately 1,800 the last year remain on the market. 30%
households per year. However, since 2009 35%
only 2,700 new homes have been built 20%
across the borough equating to a significant 26%
10%
shortfall of housing. As a result, and typical
of London overall, demand for homes is Streatham Hill Lambeth
hugely outweighing supply and this is
fuelling price inflation.
Owner occupied
Privately rented
Socially rentedHouse prices and growth Average house price index
House price growth across Lambeth has 180
been extremely strong and since the
Average house price index
beginning of 2010 has typically been higher 160
than the London average. London overall
(Base = Jan 2007)
experienced the strongest growth of the
140
post-recession period in 2014 but this was
even more pronounced in Lambeth. Prices in
120
the borough increased by 23% last year,
compared with 15% across London.
100
In the district of Streatham Hill (SW2)
houses usually sell for a discount to the 80
2007 2008 2009 2010 2011 2012 2013 2014 2015
wider borough. In the first quarter of 2015
apartments in SW2 sold for an average of
Lambeth London Base
£392,500, a discount of 13%. This equates
to flats which are approximately £60,000
cheaper in Streatham compared with Streatham affordability - flats
Lambeth overall.
£550,000
As a result Streatham is more affordable
Average apartment price
compared with other neighbouring areas. £500,000
As such it is becoming increasingly popular,
£450,000
especially with young Londoners looking to
get onto the housing ladder. This is all driving £400,000
price growth in the area with the value of an
£350,000
average flat increasing by 11% between
Q1 2014 and the same period of 2015. £300,000
Clapham
Balham
Brixton
Streatham Hill
Property prices in the areas surrounding Streatham
Westminster
Chelsea
Nine Elms
Wandsworth
Balham Streatham
TootingConnectivity
5 year growth
2015 2016 2017 2018 2019
2015-19
As well as its relative affordability, Streatham
is also well connected. The average journey
time from Streatham Hill station into Oxford UK 6% 5% 4% 4% 4% 25%
Circus and Liverpool Street is just over 30
minutes. Comparing other areas with similar
travel times illustrates how affordable London 7% 5% 5% 5% 6% 31%
Streatham is considering its ease to reach
central London. Similarly it is well connected
to the major universities in London.
Travel times from Streatham
to London universities
1 Kings College London 34 mins
2 London School of Economics 37 mins
3 University of Arts London 38 mins
4 Goldsmiths 39 mins
5 University College London 49 mins
6 School of Oriental and Asian studies 49 mins
7 Birbeck 50 mins
8 Imperial College 53 mins
9 Queen Mary University 53 mins
10 City University 54 mins
11 University of Greenwich 59 mins
12 University of Westminster 58 mins
13 Royal Academy of Music 60 mins
Average travel time into central London
South Hampstead
25 mins Highbury & Islington
£1,012,626 12 mins
Camden £1,028,957
12 mins
£822,492 Kings Cross
8 mins
£615,222 Wapping
20 mins
£554,289
Ealing Broadway
30 mins
Canary Wharf
£564,900
20 mins
Canada Water £479,879
Fulham Broadway 18 mins
28 mins £541,389
Chiswick Park £1,351,562
38 mins
£832,300
Parsons Green
25 mins Clapham Junction
£1,100,400 25 mins
£708,291
Richmond East Putney
40 mins 35 mins
£897,500 £731,900 London Square
Streatham Hill
Wimbledon Park 30 mins
40 mins £435,727
£781,100
Travel times Average house priceContacts Jennet Siebrits Mark Collins
Head of Residential Research Chairman of Residential
+44 20 7182 2066 +44 20 7182 2264
jennet.siebrits@cbre.com mark.collins2@cbre.com
Tom Bryant Julien Mills
Director Residential Development Executive Director Residential
Sales & Consultancy +44 20 7182 2679
+44 20 7182 2562 julien.mills@cbre.com
tom.bryant@cbre.com
Adam Soussi
Charles Leigh Middle East Desk – London
Senior Director Residential Development +44 20 7182 2060
Sales & Consultancy adam.soussi@cbre.com
+44 20 7182 2288
charles.leigh@cbre.com
Safina Ahmad
Head of Residential Agency – Middle East
+971 52 640 9505
safina.ahmad@cbre.com
Sources CBRE, Molior, Rightmove, TFL
Disclaimer 2015 CBRE CBRE Limited confirms that information contained herein, including projections, has been obtained from
sources believed to be reliable. While we do not doubt their accuracy, we have not verified them and make
no guarantee, warranty or representation about them. It is your responsibility to confirm independently their
accuracy and completeness. This information is presented exclusively for use by CBRE clients and
professionals and all rights to the material are reserved and cannot be reproduced without prior written
permission of CBRE. © 2015 CBRE Ltd.You can also read
