Bermondsey 2017

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Bermondsey 2017 RESIDENTIAL RESEARCH FOCUS ON: BERMONDSEY 2017 PRICE PERFORMANCE COMPARED WALK-TIME MAP DEVELOPMENT PIPELINE FOCUS ON: BERMONDSEY 2017 FIGURE 1 Price growth by price band, WALK TO THE CITY Prime Central London Indexed 100 = 2011 Bermondsey, in the borough of Southwark, is an emerging 200 cultural hub in London, within walking distance of London SE1 SE16 Bridge and the City of London. Southwark 180 Greater London Stretching between Borough Market and on Bermondsey Street, opened in London Bridge to the west and Canada 2011 and is one of Europe’s largest 160 Water to the east, and covering both commercial galleries. SE1 and SE16 postcodes, the area has In addition to this, Maltby Street Market 140 enjoyed house price growth broadly in-line is regarded as one of the best food with the wider local authority and Greater markets in London and an alternative 120 London over the last five years. Average tourist attraction to nearby Borough house prices in these postcodes have Market. Bermondsey is also synonymous increased by 66% and 65% respectively 100 with the Craft Beer industry, and a number since Q3 2011 (figure 1). of Micro Breweries occupy the railway 80 Bermondsey’s popularity is being arches from South Bermondsey station 2011 2012 2013 2014 2015 2016 driven, in part, by its thriving cultural up to London Bridge station. The area’s Source: Knight Frank Research scene. The White Cube Gallery, located growing popularity is evidenced by data FIGURE 2 Annual over/under performance of house prices against average price growth in Southwark 2010-2016 SE1 SE16 Source: Knight Frank Research 2 Please refer to the important notice at the end of this report FOCUS ON: BERMONDSEY'2017 2017 '2018 RESIDENTIAL'2019 '2020RESEARCH'2021 '17-21 20% London Prime Central London West 53% Prime Central London East Prime Outer London from Transport for London showing a 15% for Communities and Local Government transport connectivity. On this line, 54% increase in entries and exits at (DCLG) estimates 9,000 new households Canary Wharf is only a four minute Bermondsey tube station between 2010 10% will be created in the next five years. journey away, while Westminster and and 2015. A significant increase in supply is needed Bank are just seven and 12 minutes away 5% 19% 18% This trend is expected to continue as as fewer than 4,000 new homes were (figure 3). The Jubilee Line is one of five built from 2012-2016. lines now operating a 24 hour service 10% the area’s cultural offering and range of 0% amenity improves. during the weekend. -5% Transport Pre 1900 1900-1939 1945-1972 1973-Present 2017 2018 2019 2020The Bakerloo2021 Line extension2017-21 is still Development Bermondsey is within walking distance at consultancy stage, but has been Having seen relatively little in terms of of the City of London (figure 5), and the supported by the Mayor of London. If large-scale development and delivery Jubilee Line extension in 1999 provided the new line is approved, it will serve to of new homes in recent years, the area a significant uplift to Bermondsey’s enhance connectivity further in this area. is now set to benefit from several larger schemes which will be accompanied by an augmentation of the public realm FIGURE 4 Knight Frank residential house price forecasts, London and amenity. 6 This step-up in the residential offering 5 5.5% 4 will be matched by a wider push towards 3 3.0% 12.5% 2 further entrenching Bermondsey as a -1.0% 2.0% 2.5% Average/total 1 London 0 ‘go-to’ destination. Southwark Council -1 2017 2018 2019 2020 2021 has outlined plans to transform the Old -2 Kent Road, to the south of the area, into 4.0% a desirable high street destination with 1.0% 3.5% 3.0% 3.5% 15.9% shops, cafes and restaurants, supported Average/total Prime Central London East* 2017 2018 2019 2020 2021 by two new stations – known as ‘Old 6 Kent Road 1’ and ‘Old Kent Road 5 1.5% 4 2’ - earmarked for the Bakerloo Line 1.0% 3.0% 3.0% 8.8% 3 Average/total 0.0% 2 extension, potentially in operation from 1 Prime Central London West** 2017 2018 2019 2020 2021 0 2030 (figure 2). -1 6 -2 5 Under-supply remains a key issue in 4.0% 4 London. The Greater London Authority 3.0% 3.0% 11.4% 3 -1.5% 2.5% Average/total 2 estimates a minimum of 50,000 new Prime Outer London 1 0 homes are needed per year in order to 2017 2018 2019 2020 2021 -1 -2 keep up with demand, yet fewer than Source: Knight Frank Research half this figure was built in 2016. In the *City & Fringe, Islington, Tower Bridge, King’s Cross and Riverside borough of Southwark, the Department **Notting Hill, Kensington, South Kensington, Chelsea, Knightsbridge, Belgravia, Hyde Park, Marylebone, Mayfair, St John’s Wood FIGURE 3 Travel times from Bermondsey underground station TUBE TIMES 4 7 12 17 45 MINS MINS MINS MINS MINS (VIA DLR) CANARY WHARF WESTMINSTER BANK LONDON CITY AIRPORT HEATHROW AIRPORT Source: Knight Frank Research 3 .
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