BIRMINGHAM MARKET REPORT

OVERVIEW is the UK’s second largest city with The city has other cultural attractions like the a population of over 1 million. The city also has Birmingham Museum and Art Gallery, and the second largest GDP after at £114.3 boasts over 40 other visitor attractions to billion. It has continued to outperform the explore within the city and surrounding area, national average for house price growth over the visitor numbers are on the rise. past 12 months. Impressive statistics such as a record 42 million visitors in 2017 and a 20% increase in business startups over the same period have helped the city cement its position as the UK’s most attractive property market over the last 5 years, easily outperforming London.

Birmingham is a bustling metropolis which

boasts plenty of unique attractions that distinguishes it from other large UK city’s. It is home to landmark buildings such as the famous Bullring,The Cube and The NEC. REGENERATION

BIG CITY PLAN development to help reduce the impact the city has on climate change and to ensure a greener Birmingham is currently going through one of future for the city. the largest regeneration projects in UK history. It has attracted billions of pounds of spending on The new approach to the city’s direction has infrastructure and developments with its Big seen projects like the Smithfield Masterplan City Plan. (part of the big city plan) being constructed in central city locations providing additional prime The Big City Plan is a vast regeneration project real estate to the tune of 51,000 new homes. stretching almost all of the city centre. It will see The regeneration of run down parts of the city 1.5 million square metres of new floorspace will provide a huge boast to the local economy added, with a further 65,000 square metres of and support house prices as the city becomes new and improved public spaces. Furthermore, a more up to date and trendy place to live and when complete, it is estimated it will contribute work. This has already been seen in much of to the creation of 50,000 new jobs and add the areas already developed. £2.1 billion to the economy each year. One exciting new direction that the city is moving towards will be the integration of sustainable

BEING CONSTRUCTED IN CENTRAL CITY LOCATIONS PROVIDING ADDITIONAL PRIME REAL ESTATE TO THE TUNE OF 51,000 NEW HOMES HS2 WILL BRING JOURNEY TIMES BETWEEN BIRMINGHAM AND LONDON TO JUST 49MINUTES

Birmingham is fortunate enough to have its own international airport. is located a short 10 minute train ride from Birmingham New Street station in the city centre. It allows for quick and easy access to major European city’s as well as new routes opening up to further afield destinations such as the Middle East and North America.

Birmingham also benefits from fast direct train links to other major UK city’s. With the new HS2 railway currently under construction, journey times between Birmingham Curzon Station and London Euston will be cut to 49 minutes, making travel to and from the capital even simpler. Population A population boom in Birmingham has ‘’BIRMINGHAM been in full swing with an increase of 11% in the years between 2001 and 2013. HAS BEEN According to World Population Review Birmingham's 2019 population is now NAMED estimated at 835,352. In 1950, the population was 447,067. ’S Birmingham has been named Europe's youngest city, with over 45% of the YOUNGEST CITY, population being under the age of 30. WITH OVER 45% Birmingham is home to 5 universities and 65,000 students. Thanks to this, the city OF THE has become a hot spot for young professionals working in its growing POPULATION banking, digital and start up sectors. Attracted by affordable housing, great BEING UNDER nightlife and the city’s central location, its seen a steady increase in popularity over THE AGE OF 30’’ the last 5 years. 24% of residents are young professionals. Birmingham is the second largest business hub in the UK after London. TOURISM

Birmingham’s tourism industry is also Birmingham has won the bid to host the booming and has already witnessed a 52% 2022 Commonwealth Games, this is increase in overseas visitors from 2011 and testament to its unrivalled transport links, a 17% increase in domestic visitors over the growing infrastructure and its flourishing same period. Figures released by the West hospitality sector. The games will see an Midlands Growth Company and GST put additional 1 million visitors to the city, with Birmingham annual visitor numbers at 41.8 an estimated £526 million boost to the west million people in 2017. This has been critical midlands economy. In addition to this, to the city’s growing economy as the between 2018 and 2022, the games will number of full time jobs supported by support up to 4,500 new jobs. tourism has risen to 75,000 up by 7.2% since 2016. Birmingham saw an impressive £7.1 billion of tourist spend in 2017 and this doesn’t look to be slowing down anytime soon. ‘’BIRMINGHAM AIRPORT IS LOCATED A SHORT 10 MINUTE TRAIN RIDE FROM THE CITY CENTRE, ALLOWING FOR QUICK AND EASY ACCESS TO MAJOR EUROPEAN CITY’S AS WELL AS NEW ROUTES OPENING UP TO THE MIDDLE EAST AND NORTH AMERICA.’’ CAPITAL APPRECIATION

Birmingham has enjoyed a 45% rise in Birmingham a highly attractive alternative for property values since the 2008 housing companies that are currently based in crisis. This combined with the city’s average London. house price being below the national average, makes investing in Birmingham In comparison to the London housing extremely attractive. House prices saw a market where current price’s per square foot 7.5% rise in 2017, making Birmingham the are anything from £1000 to £2000 (and second fastest growing city on the UK beyond). Birmingham prime property comes House Price Index. in well below at £500 per square foot.

Over the course of the next 5 years, house All of this data has been crucial to making prices are projected to rise at nearly double Birmingham the most popular city in the UK that of the national average. for people migrating from the capital in 2016. Birmingham is currently going through one of the largest regeneration projects in UK history. The Birmingham Big City Plan will see a major development of currently outdated and unused parts of the city.

Property developments in Birmingham, although on the rise, have have not been of the order seen in other cities such as Manchester, Liverpool and London. A factor that has been paramount to rising house price figures, as demand now far outweighs supply.

Figures suggest that in order to keep up UK Average Birmingham with the growing demand for city centre living, Birmingham needs to build 80,000 homes by 2031. It is however projected that the city has failed to meet its current development targets by up to 45,000 units in the last five years. This is a clear indication that property prices won’t be slowing down anytime soon.

A big attraction is Birmingham’s central location. It is just a short 1hr 21minutes train ride from the capital, which is soon to be reduced to 49 minutes, thanks to the new high speed rail link, which is due for completion in 2026. This makes RENTAL YIELDS

The demand for rental accommodation in bedroom apartments can command rent of Birmingham has increased dramatically over up to £950 pcm and two bedroom the past decade as it becomes ever more apartments as much as £1500 pcm. popular with large companies. A good example is HSBC and Deutsche Bank Property websites such as Zoopla and setting up offices in areas like Paradise Rightmove have clearly indicate that Square. This combined with Birmingham achieving these levels of higher rent can only becoming part of the commuter stretch to be seen with upmarket new build London, means more upwards pressure on developments, with apartment complexes housing and landlords are thus able to rather than houses leading the way. achieve higher rental yields.

Those fortunate enough to have invested in property, in areas such as B1, and have enjoyed rental yields of up to 8%, a 1.5% year on year increase, comfortably outstripping those of London and other major UK cities. Prime residential lets in Birmingham achieved a 4.9% increase in 2016 compared with a 3.2% national average. Typically, one

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