Prime Resi Archives - Page 3 of 3 | Property Buying Agent

London buying agency looks to Hong Kong after a ‘surge’ of interest from Asian investors

Black Brick is heading to Hong Kong to capitalise on an international investment trend

Camilla Dell’s buying agency Black Brick is taking a team to Hong Kong after seeing “a surge in interest from Asians looking to invest in the central London property market”.

“A surge in leads” has come through in the last six months, reports the firm, mainly from India, Hong Kong and Saudi Arabia (but also from China, Oman, Lebanon and Singapore). The agency has also completed on ten international-buyer deals in the last 18 months, representing clients from Singapore, Oman, Saudi Arabia, Jordan, India and Lebanon.

Now Black Brick partner Caspar Harvard Walls (pictured) is heading to Hong Kong at the end of this month to charm private bankers, family offices and HNW expats living in Singapore and Hong Kong. “It is extremely difficult for those clients to conduct a London property search from so overseas,” notes Camilla Dell, “so using a buying agent makes sense.”

Camilla Dell, Managing Partner at Black Brick: “Asia has always been a key market for us and with a rise in interest from this region, we are keen to reach out to potential clients who need the services of a buying agent.

“Many Asian buyers can also often be confused by the sheer number of new build developments being advertised by London developers. Even for domestic buyers, it can be very confusing. We are able to help our clients to decide which development to buy above another and the nuances of the market. There are many pitfalls which overseas buyers can make when buying without advice such as overpaying, buying the wrong unit, buying in the wrong location and having the wrong advisors. For example, often developers will push buyers to use their own in-house solicitors and mortgage brokers who may not provide impartial advice.

“We are visiting Hong Kong to address this issue, and to meet with private banks, family offices and other professional intermediaries to spread the message that there is another way of buying. Paying for advice can more than pay for itself and avoid costly mistakes in the long run.”

https://www.black-brick.com/young-street

Chelsea mansion’s £16.5m price cut does the trick

Super-fast turnaround on Cresswell Place provides further proof that there is a market – when the price is right…

A turnkey mansion in Chelsea that took a well-publicised £16.5m price cut last month has been snapped up pretty sharpish.

The “one-off” behemoth on Cresswell Place came to market amid a blaze of publicity last summer at £37.5m, following a full-scale redevelopment programme at the hands of luxury specialist Albyns. A sale failed to materialise, however, and the property was put into receivership and relaunched just a couple of weeks ago at £20.95m – 44% below the original figure.

Last we heard, 50 viewings had already been booked in pre-launch, and we’re told a deal has already gone through (although the purchase price has yet to be confirmed).

The six-year project delivered an 11,046 square foot pile with bells and whistles aplenty; along with some glorious reception spaces and five bedroom suites, some “incredible” leisure facilities have been installed, including a 15m swimming pool, gym and spa. There’s also a car stacker for two large vehicles, a passenger lift to all floors, state-of-the-art tech throughout, and a separate staff area.

An unconfirmed report suggested an offer at £36m “fell away” last year.

Mayfair-based buying agency Black Brick recently flagged up a rise in the number of newly-developed properties going into receivership. The firm’s Camilla Dell said: “Sellers at every price point, including super-prime, are becoming more realistic. Understanding who you are buying from and their motivation for selling is crucial in order to get the best outcome on price. We have noticed an increase in the number of newly developed properties that were on the market for over inflated prices back in 2015/16/17 and which are now in receivership – in other words developers that got their timings wrong and are now suffering the consequences. Now could be an excellent time for buyers at the top end of the market to take advantage of sellers looking to close a deal and receivers looking to get their money back on un-sold properties.”

It’s not just PCL properties either. The remarkable Chalet Estate in Surrey has just reappeared on the open market on the instructions of LPA Receivers with an asking of £5m (a good £8m below the £13m it was originally launched at in 2016), with contents available by separate negotiation…

Black Brick signs top negotiator from Marsh and Parsons

New recruit Alex Oliver joins from M&P’s Notting Hill office

by PrimeResi September 14, 2017

Black Brick has bolstered its buying team with the hire of a top negotiator from Marsh & Parsons.

Alex Oliver has joined the Bruton Place-based agency as a buying consultant, after a successful stint at M&P’s Notting Hill office, where he was their highest-performing sales negotiator. He spent a couple of years at Foxtons before that, and has sold in excess of £50m worth of property to date.

Now nine-strong, the Black Brick team tripled its turnover in 2016 to hit £3m, and we hear there’s plans for further expansion in the coming months.

Camilla Dell, Managing Partner: “We are delighted to welcome Alex to the team. As a boutique company, we work on a one to one, bespoke basis with our clients and Alex’s knowledge, expertise and personal approach is the perfect fit for our company ethos.”

Buying agency secures Park Lane base for ‘London’s most prestigious vault’

Buying agency secures Park Lane base for ‘London’s most prestigious vault’

Prime Resi

Unusual off-market acquisition next to the Dorchester…

Mayfair buying agency Black Brick has just finalised an interesting acquisition on Park Lane.In a departure from high-end house and apartment sourcing, the firm dug deep to secure an off-market bank vault next to the Dorchester for the South African owner of IBV International Vaults, Ashok Sewnarain, who has plans for a super-luxe storage concept.

The 2,077 square foot subterranean space, formerly leased to Barclays Bank, has been secured on a long lease of 19 years at a passing rent of £172,500 per annum, with a rent-free period to allow for a “luxurious” refurbishment.

IBV will be launching the offering in November as “London’s most prestigious vault”, aimed at HNWIs looking to store their jewels, gold and priceless belongings.

“Guests” will be collected in a chauffeur driven car and driven to the high security premises, where they will enter an “opulent” entrance, complete with a 24 carat gold flecked pavement, and meet one of the firm’s representatives. 3,300 safety boxes will be available in total, and the company also plans to sell gold bars and precious metals from the site.

Camilla Dell, Managing Partner at Black Brick: “As a buying agency which specialises in residential property, this was a very unusual deal for us, made possible by our excellent connections as the vault was only available off-market. Our client operates IBV vaults in across several locations across South Africa but was keen to expand into London, where he could offer his VIP service to the world’s elite.

“The vault is set to become the most prestigious and luxurious in London and marks a growing trend for discerning individuals to store their precious jewels and personal items.”

Barclays sold another of its vaults off in 2016 to Chinese Bank ICBC who needed somewhere to store £57 billion of gold bullion. The location remains a secret…

Super-prime storage has been in the news already this year; In January, high-spec property developer Amazon delivered a 10,000 square foot, £30m, three-storey underground super-prime storage facility for the most valuable of valuables, located 40 feet beneath Great Portland Street.

The Armitage Vaults are “the capital’s answer to Fort Knox”, said the developer, which has spent five years on the project. They offer high net worth types somewhere hyper-secure and quite plush to leave anything from artworks, jewels and wine to documents, luggage and ski paraphernalia, on either a short- or long-let basis. And there’s not a bulk-buy offer on packing boxes in sight.

Amazon’s new ‘Armitage Vaults’ are located 40 feet beneath Great Portland Street.

internationalvaults.com

‘Look at the property’s value in 2014, take off the additional Stamp Duty, and use that as a benchmark’ – Black Brick

Prime London’s market seems to be bottoming out, agrees Camilla Dell
by PrimeResi June 6, 2017

Thing are looking up in the Prime Central London property market, says Black Brick boss Camilla Dell, despite all the uncertainty swirling around the General Election and Brexit negotiations.

Dell’s calling of the bottom of the market (or at least the beginning of the end of a downward run) chimes with analysis from a fleet of other key players including Cluttons, Knight Frank, JLL, Savills and – most emphatically – Humberts.

But Dell’s gone a bit further, offering up a practical insight into how one benchmarking play is getting decent amounts off those unrealistic asking prices for its clients: 2014 prices, less the value of George Osborne’s additional stamp duty, seems to be the magic formula for buyers.
Black Brick says it has negotiated below asking price on 67% of the properties recently purchased on behalf of clients, with an average reduction of 7%.

We are seeing vendors and agents become more realistic with pricing, and the market has now largely absorbed the Stamp Duty increases that came into force last April, so buyers are wanting to get on and purchase.
The falls in Prime London pricing over the last 12 months or so correlate very closely with the Stamp Duty increase
We don’t expect prices to fall much further. Indeed, the falls in Prime London pricing over the last 12 months or so correlate very closely with the Stamp Duty increase. Those properties at the lower end of the market, where Stamp Duty was basically unchanged, have held their value well. However, for more expensive property, price falls tend to mirror the increased Stamp Duty charge.

This has given a useful yardstick on which to negotiate with sellers – we can look at the property’s value in 2014, take off the additional Stamp Duty, and use that as a benchmark. It’s proving a successful approach for us and our clients. It’s in a flat market like this where a buying agent can really help – we are going in, negotiating hard – and it’s working.

The fall in sterling has seen cost reductions in the 30-40% range for dollar buyers which is partly the reason why these buyers are keen to invest. Many have decided that this is the year to add to their London portfolios and we have been instructed by a number of families to start the property search. Based on a Conservative win on 8th June, we don’t expect to see any material effects on the London property market as a result of the general election.
Camilla Dell is Managing Director of Black Brick
black-brick.com

Property magnate becomes the American President: The prime resi industry reacts

o Donald Trump is the new Most Powerful (Elected) Person In The World, and gets the keys to 1600 Pennsylvania Avenue. He celebrated, oddly, by playing the Rolling Stones’ You Can’t Always Get What You Want and giving a surprisingly civilised speech. The FTSE immediately started to fall, Canada’s immigration website crashed, and the Russian Parliament “erupted into applause”, according to the BBC.

It’s the latest chapter in a let’s say strange year, and means that economic and political uncertainty is likely to be the new normal on both sides of the Atlantic.

Given the reliance of the UK’s luxury property industry on dollar buyers – Hamptons recently found that 6% of buyers in Prime Central London were from the US in Q3 this year, and Fine & Country reports a 23% increase in the number of US website visitors between Brexit and today in comparison to the same period last year – and the global high net worth community, there will inevitably be effects on the prime residential sector. It may mean an end to the “Brexit discount”, which has made British property up to 20% cheaper for buyers with dollars, or it may cause a short-term flood of American’s fleeing to Blighty…

Obviously no-one really knows what may come to pass over the next year or four, but here’s what some key players in the UK’s prime resi industry are thinking…

Global investment into PCL property is likely to increase from investors who hold the view that Trump is risky for the markets

Camilla Dell, Managing Partner at Black Brick

“Following the victory of Donald Trump in the US election, we will almost certainly see market turmoil and weakening of the dollar. As a result, global investment into Prime Central London property is likely to increase from investors who hold the view that Trump is risky for the markets. Indeed, we are already seeing a flight to safe haven assets such as gold this morning and PCL property has always been seen as a safe haven asset in turbulent times.

“We are also likely to see some wealthy US citizens, particularly those most offended by Trump, move to the UK as some of our American clients hinted to us prior to this outcome. Foreign buyers, particularly those from the Middle East and of Muslim faith, may enter the London property market, too, as they decide not to buy property in the US due to his remarks about banning Muslims from entering the country.”

On balance it should be positive for the UK property industry

James Wyatt, Director at Parthenia

“The forgotten masses have spoken again and triumphed over the wishes of the establishment and Donald Trump has been propelled to the White House. Republicans now control the presidency and both houses, but Donald Trump won without the support of the Republican party.

“Donald Trump is known as an anglophile and unlike President Obama has promised to bring the UK to front of the queue for trade deals. He has also proposed spending on infrastructure, lower simplified taxes and to remove loopholes for the rich and companies. However, his rhetoric on immigration and foreign policy needs careful attention and it will be interesting to see if his position becomes more meted. What does all of this mean for the UK and PCL property? On balance it should be positive, as there may be an influx of dollar denominated buyers and an anglophile president may help the UK economy steer through the choppy waters of Brexit. Nunc dicam.”

We should see more Americans buying in PCL in the coming months

Alex Newall, Managing Director at Hanover Private Office

“Whilst the stock markets are quick to react, the property markets will be a little slower and buyers will place on hold their searches until the dust settles. This pause may bring a few short-term forced sells as loans expires due to failed sales. However, generally in the US prices should hold in the near term.

“Looking abroad, if Trump is to re-write global trade deals to increase US jobs and tax imports, we could see falls in the currencies of weaker economies. Currently with an historically cheap pound, now just might be the time to jump into UK property as borders tighten around the USA. Whilst we have already seen notional signs of USA buyers in the Prime Central London property market in recent weeks, we could see more emerging over the coming fairly soon. From disgruntled LA pop stars to the New York business elite hedging their bets, the west and east coasts who voted for Clinton maybe looking towards London as a good alternative. And why not? There are already many American Community Schools (ACS) here both in London and outside with the likes of ACS Egham near Wentworth and ACS Cobham near St George’s Hill – two American style gated communities.

“US Investment banks in London are numerous in the City and it’s generally a multi-cultural society which welcomes Americans. As ever, it’s just too early to tell what market movements will happen, but we should see more Americans buying in PCL in the coming months. Currently Belgravia is top of the list for one of our USA buyers.”

Central London’s property market is going to look increasingly attractive to those who fear the Trump effect

Louisa Brodie, Head of Search and Acquisitions at Banda Property

“Following this morning’s shock result in the US, London is waiting to assess what Donald Trump’s victory really means. With global stock markets currently in turmoil and the weakening of the US dollar, central London’s property market is going to look increasingly attractive to those who fear the Trump effect.

“We are likely to see US citizens, perhaps most of all those wealthy elite who were most offended by his campaign tactics, move to the UK now that the reality of the voters’ decision is sinking in. After a viciously fought campaign that has not endeared him to many around the world, particularly the Middle Eastern markets, London may now appear a far more attractive option to these buyers who had previously considered buying in the US.

“Banda has already seen an increase in US dollar buyers in central London since the Brexit vote in June and now we are going to see more Americans considering a move to London in the aftermath of today’s result.

“The recent fall in the value of sterling means there are even more attractive options available in the London market for buyers from across the Atlantic. With finance now cheaper than ever, perhaps we should be encouraging our American friends to head to London. West London in particular has been popular for Americans relocating with their families and our culture, legal and transport systems, language and educational facilities have always held an appeal.”

Financial markets might crash and the dollar weaken, effectively strengthening sterling

Gary Hersham, Managing Director and Partner of Beauchamp Estates

“I think it is likely that following the Trump win, the financial markets might crash and the dollar weaken, effectively strengthening sterling.

“It would therefore certainly help with pound based purchases in the US and Miami in particular, where unit prices in dollars per square foot are often below $1000, especially in off plan schemes with superb facilities such as The Missoni building in Edgewater, Miami.”

London will be high on the list for wealthy Americans keen to escape a Trump presidency

Nicholas Finn, Executive Director of Garrington Property Finders

“Prime London property has always appealed to the global elite as a safe haven investment and a political port in a storm. With America experiencing its own Brexit moment, and the weak Pound making UK prices highly attractive to dollar buyers, London will be high on the list for wealthy Americans keen to escape a Trump presidency.

“Chelsea, Kensington, St John’s Wood and Richmond already have sizeable US contingents and are likely to attract many of the newcomers. However it’s worth remembering that many US expats moving to London choose to rent rather than buy, so an American influx is likely to trigger rent rises as much as price rises.”

There will be a net positive impact on the market as investors retrench to blue-chip tangible assets

Naomi Heaton, CEO of London Central Portfolio

“There will be a net positive impact on the market as investors retrench to blue-chip tangible assets as uncertainty on the political and economic stage is heightened once again.

“Jitters in global equity markets driven by widespread speculation will be countered by flights to safety, with gold, the Yen and Swiss Franc set to benefit. Whilst the result will likely move the global spotlight away from Brexit, repercussions may be felt across Europe with the prospect of anti-establishment votes becoming keener. At the same time, the likelihood of the UK Parliament thwarting the people’s mandate to exit the EU has dwindled.

“Whilst all of this plays out, Prime Central London property, a traditional safe haven, is expected to benefit from a similar flight to quality, asset-backed investments.”

Our initial reaction to the US Election result for the UK property market is favourable

Charles Curran, Principal at Maskells

“Our initial reaction to the US Election result for the UK property market is favourable. Sterling has strengthened against the USD by 0.32% this morning which, notwithstanding a potential hike in the US in December, may start reducing some of the post BREXIT inflationary pressure in the UK. This is good for mortgage payers as it reduces the likelihood of the BOE’s hand being forced to increase rates to counter a strong dollar; the currency in which many of imported products are priced.

“Furthermore, this morning we saw that the Canadian immigration website crashed as US citizens sought to acquire Canadian citizenship. This bodes well for the UK, as it is one of the only other fully English speaking countries within financial market time zones and it is really those with country transposable skills (who can work anywhere) who may decide to make the move. London would make more sense than perhaps Australia or New Zealand, the other alternative being Hong Kong where property prices can be much higher than London.

“BREXIT may well have been a block to any moves by US Citizens, but in all likelihood, Parliament will be voting on Article 50 and will temper the hard Brexit line taken by the Government, which increases our chances of staying in the single market (most likely as part of the EEA), which we hope will allow for the continuation of pass porting financial service into the EU and access to the Single Market.

“Whilst we seen Americans buying all over London, there is a preference for St John’s Wood, Kensington and Chelsea due to the American Schools. However we have also seen more Americans put their children into British schools, so our advice would be to buy in an area with low debt levels, to protect their capital from any market volatility as a result of BREXIT.

“We may not see an immediate move, as President Elect Trump’s transitional team start their work, but already the markets have reacted badly. However, our view is that there may be a small knee-jerk reaction to his win, but if Americans are to move to the UK in significant numbers, it will be after he has taken office and established what the relationship will be like between the Republican House and Senate.”

The trend of Americans looking to swap the US for the UK has been building

Martin Bikhit, Director at Kay & Co

“With no language barrier, London and the wider UK is hotly tipped to be a location of choice for those leaving Trump’s domain. There would be no real culture shock and, despite the UK’s vote to leave the European Union, those Democrats leaving the US may find living under the remit of new left-wing Mayor of London, Sadiq Khan, more politically palatable. The world also perceives Teresa May, the longest serving Home Secretary for 50 years, and the new Prime Minister, as a safer pair of hands than the celebrity-cum-political Donald Trump.

“The trend of Americans looking to swap the US for the UK has been building as the combined factors of the US election and the weak sterling make such a global and unique city as London very attractive.”

Donald Trump’s win makes the potential effects of Brexit look like a garden party

Tim Macpherson, Head of Residential for Carter Jonas London

“As the world takes stock of Donald Trump’s election to President, we expect to see a movement of affluent Americans from major cities across the US into Prime Central London. The pound remains attractive to dollar based buyers in the wake of Brexit, who still see relative market stability in London, and as a result, view it as a place to invest their money in property. Keen to shelter from any ensuing political and economic upset, a number of buyers registered with us in advance during the presidential campaign, with a view to progressing their purchase following a Trump victory. Now that has happened, it is likely that a number of them will follow-up on their initial interest.

“We anticipate a potential power shift between New York and London, with a new wave of professionals,originating from Hong Kong, Singapore, Malaysia and even Tokyo, as well as investors from the Middle East, now looking to do business in alternative locations to the US.

“Although Donald Trump’s win signifies an unprecedented change in the political landscape that makes the potential effects of Brexit look like a garden party, London’s prime market is set to benefit – such is the attraction of our capital city and its place in the global economy. However, rather than relying on American based buyers for an improvement in the London market, perhaps our more immediate aspiration should focus around an SDLT reduction in the Autumn Statement.”

The surprise of last night’s result will be likely to be replaced by a more considered view of the implications of the new presidency

Liam Bailey, Global Head of Research at Knight Frank

“There may be a period of instability in currency markets, which will influence some short-term decision making around asset allocation.

“However, rather like the Brexit vote in the UK the surprise of last night’s result will be likely to be replaced by a more considered view of the implications of the new presidency.

“It is important to remember that almost alone of all developed economies the US has largely shaken off the impact of the global financial crisis and has led the way to improved economic growth.

“The business environment in the US and innovation in business services and technology providers based in the US have helped to drive property market demand globally – it is an incredibly strong platform to build from.”

The domestic property market particularly outside of Prime London won’t be affected

Ian Westerling, Managing Director of Humberts

“The Trump win will cause short term stock exchange fluctuations affecting buying decisions at the top end however we predict that it’ll be business as usual in the UK over the coming weeks. The domestic property market particularly outside of prime London won’t be affected – we’ve already seen our sales increase by around 5% on the same time last year and we expect that continue as we head to the end of 2016.”

Our fear is that the value of the dollar will fall… hence London will lose its attraction to overseas buyers

Matthew Kaye, Partner at Kaye & Carey

“Our fear is of course that the value of the dollar will fall to such an extent that it wipes out the advantage any dollar based economy has been enjoying against the pound – hence London will lose its attraction to overseas buyers as place to invest.

“One possible upside might be that high net worth American citizens decide to flee the US and settle here instead.”

This result could sway buyers to favour a London purchase instead

Simon Tollit, Central London sales director at United Kingdom Sotheby’s International Realty

“We have definitely seen an increase in US purchasers looking to buy in and around Prime Central London over the last six months. Whilst the impending election was causing concern for some, it is more likely this was being driven by the weak pound rather than the election results. It is possible this interest from US purchasers may wane as we have already seen the pound make strong gains against the dollar following the vote, with these currency shifts in mind we expect other foreign buyers to look to the London property market as a consistently safe investment. Investors do not like to buy in uncertain markets and a win for Trump means a change of party, meaning changes in policy are far more likely with a Clinton defeat. New York and London are historically rival property markets, meaning this result could sway buyers to favour a London purchase instead.”

Trump’s victory may well prove beneficial for the UK property market

Jean Liggett, CEO of UK-based Properties of the World

“The US economy remains the force that sets the pace for the rest of the world. Even with the rise of China and the growth of other emerging markets, America is still the strongest economy in the world.

“Donald Trump’s US presidential election victory raises concerns over the impact of this outcome for global economies, including that of the UK. Today’s Trump victory is likely to cause market trepidation around the world. Many companies and investors may look to move their investments and companies, at least in part, out of the US to safer havens.

“Trump’s election could generate a significant movement in the US dollar and potentially jeopardise US diplomatic relations across the world.

“However, Trump’s victory may well prove beneficial for the UK property market, as investors seek to migrate their portfolios from the US to a more secure and predictable market – the UK. This may even mean that the sterling could rise in value. Under Trump’s stewardship, ‘predictable’ may need to be removed from the US English dictionary for the next four years. Only time will tell how the US property market – and others around the world – respond to his election victory.”

View the article online here

The forecast for the prime London market? That depends on which part…

Forecast season may be upon us, but headline figures are of little use in the micro-markets of prime London, says Camilla Dell…

As we approach the year end, the UK’s leading agents and property analysts have the tough job of predicting the outlook of the property market. This year, their job is tougher than ever as the UK market faces extreme uncertainty as a consequence of the Brexit vote. Not only will the terms of the UK’s relationship with the EU have a profound effect on the country’s overall economic performance over the next few years, but the treatment of the financial sector will bear particularly on the London property market.

The collective response to this uncertainty is expected to be inaction, with both JLL and Savills predicting no growth for Prime Central London (PCL) in 2017. This is followed by a growth of 15.2% and 20.8% respectively over five years to 2021. Although we largely agree, we caution the usefulness of a single number for such a heterogeneous market as prime London. As we have seen in the past, just as some geographic areas have performed better than others; some parts of the market are likely to outperform the average.

For example, we expect the lower end, below £1 million, to remain active and resilient, supported by government programmes, such as Right to Buy. Furthermore, the current stamp duty regime continues to make properties at this end of the market relatively attractive to investors. This implies that outer prime locations are likely to do better than a more traditional – and more expensive – PCL.

There will also be outliers at the higher end of the market; we’re seeing stock dry up as vendors refuse to countenance the discounts needed to close deals. This can have effects in both directions; those sellers which come to the market are likely to be highly motivated to sell, and open to offers, while limited supply can see buyers pay up for high quality properties.

For the opposite reason, we remain very cautious on the new-build segment, which we think is still the most vulnerable part of the market. Some parts of London are flooded with supply and we’re likely to see properties offered with substantial discounts.

Of course, there is a near-term wildcard, in the Chancellor of the Exchequer’s Autumn Statement, due on 23 November. Budgets under George Osborne delivered raid after raid on the property market and we don’t know what – if anything – Philip Hammond has up his sleeve.

Top 40 Residential Buying Agencies

We are delighted to be ranked 4th in Prime Resi’s “Top 40 Residential Buying Agencies”. The guide is a definitive rundown of the most influential, successful, respected and connected residential property buying agencies in Britain.

INTERVIEW: Camilla Dell on why buying without an agent is like going to court without a lawyer

Outspoken and consistently outperforming, Camilla Dell is founder and MD of one of London’s most successful acquisition agencies, Black Brick. Here in conversation with PrimeResi, she discusses everything from driving a hard bargain to difficult toy dogs…

You worked at both Foxtons and Knight Frank during the 2000s; how did this prepare you for the world of acquisitions?

For me, working at Foxtons was like the University of Estate Agency and London Property Market. Whilst lots of people like to say negative things about Foxtons, I can honestly say I would not be where I am today had I not started my career there. It taught me discipline, how to be a great sales person, and, most importantly, it sowed the seed for Black Brick. I did not work at Knight Frank for very long and I was based in their buying department. I went there to really test drive my business plan for Black Brick, and, within eight months, I left to set up my firm and have never looked back. Knight Frank are a great firm, but I strongly believe that buying agencies should not be part of estate agents – independence is key.

What were the biggest challenges you encountered whilst starting up your own business?

It’s tough to be taken seriously when you are a small company, work from home, and there are only two of you. Luckily that did not last for very long, because within six months, my team had doubled in size and within two years, I moved from my home office to an office in Mayfair which really put Black Brick on the map.

What was your first deal as a buying agent?

My first deal was for a client who has since become a dear friend and has concluded over eight transactions with me in the last 10 years. He was looking for a penthouse flat in St John’s Wood and loves cars – he owns at least five high value sports cars so off street parking was really important. He needed at least five spaces, and I managed to not only find him his dream penthouse, but also one that came with five secure parking spaces – no mean feat!

What’s the toughest search brief you’ve ever been given?

Every search we take on is unique and has it challenges. If finding a property were easy, people wouldn’t come to us for help. I think the toughest search we had was for a couple who had no children, but they did have a small Chiuahua dog. Therefore, they wanted to buy a flat with secure outside space for the dog (balconies were deemed too dangerous in case the dog fell through the bars!) and in a building with a porter. The combination of these two factors made the search challenging as many buildings with porters don’t allow pets and most forms of outside space were not suitable for small dogs. We eventually identified a stunning apartment with high ceilings and a porter with secure outside space which even led out onto private communal gardens. It took us over 12 months to find it, but our clients were thrilled with the end result.

Your team now includes five buying consultants; what makes a great buying specialist in your opinion?

The best buying consultants are those that totally understand how to be a good consultant. At the end of the day, our job isn’t to sell a property to a client in the way that an estate agent would do, our job is to guide and advise our clients and make sure they don’t make a mistake. This can often take time. Patience is key, as is the ability to build rapport and trust with clients. Finally, fierce negotiation skills, a relentless approach to finding the right property, and expertise in the market are also crucial skills.

How important is it for you to remain independent? What advantages does this give your clients?

Independence is hugely important; buying agents that are owned by estate agents are hugely conflicted. I know this first hand as I used to work for one. Clients always found it odd that on the one hand we were saying we were acting for the buyer, but on the other hand we were owned by an estate agency. Not being independent also makes it incredibly difficult to get access to off market properties. Most estate agents are reluctant to freely share sensitive off market instructions to buying agents who are owned by estate agencies for fear that they may lose the instruction. With us, there is no conflict. We don’t sell properties and we never will.

How do you foresee the demand for acquisition firms developing in the UK over the next five years? Is the market now saturated?

I think the market has become flooded with one/two man band buying agents who often work from home, and do a handful of deals a year. There is nothing wrong with this, but for clients looking to engage a professional buying agent, then there are actually very few companies to choose from. I can count my competitors on one hand in terms of professional firms with a salaried team and proper offices. I think the demand for buying agents will continue over the next five years – the fact is, most buyers find the process time consuming, difficult and frustrating. The market also isn’t very transparent. I often draw the analogy that a buyer without a buying agent is like going to court without a lawyer; the traditional way of buying is actually a very unfair process when you think about it. The seller has their estate agent working for them and it’s in their best interests to sell their property for the highest price, but the buyer has no one. We even up that process and I think it’s a service that more and more buyers are turning to, not just wealthy foreigners.

In the last eight years, your firm has acquired over £200 million worth of residential property for African buyers; where do you think will be your biggest source of clients over the next few years?

Emerging market countries will continue to be big buyers of UK property – they value everything the UK offers compared to their own high risk countries. Other countries to watch are Angola and Brazil – there are huge amounts of money flowing out of these countries. Political uncertainty also drives buyers to the UK.

One of the key benefits of employing a buying agent is having a professional negotiate on your behalf; what are your top tips for securing a good deal?

Know your market, understand pricing, and collate relevant comparable sales data to assess whether a property is expensive or not. Finding out who the vendor is and why they are selling also help, there is no point negotiating hard with a vendor who isn’t really motivated to sell in the first place.

In your experience, what percentage of London’s prime property stock is only available off-market?

This is very difficult to assess because the true meaning of the phrase “off market” often gets misinterpreted. For example, a property may not be openly advertised, but there is an estate agent involved – does this therefore make it off market? On average around 25% of the deals we do for our clients are either totally off market, or there is an estate agent involved but no marketing information on the property.

How do you maintain such a regular supply of HNW clients?

Over 30% of our clients come to us through a previous client recommendation. Clients are also recommended to us via other professional intermediaries such as law firms, accountancy firms and banks.

Which schemes/developers were you most impressed by in 2014? Is there one in particular you are tipping for great things in 2015?

We tend to favour smaller, more boutique developments with fewer than 100 units. We bought two apartments last year in a development on Hanover Street which only had a total of six units. We also really like Native Land and their Old Burlington Street development. 2015 will be an interesting year for London’s higher end developers as there are so many new schemes under development and due for launch in a very tricky market.

How many clients does Black Brick have on the books at the moment?

40.

What advice would you have for someone thinking about starting a career in acquisitions?

Too often I meet candidates with no property experience who want to become buying agents. My advice has always been to learn about the market first, and the best way to do this is to work for one of the big estate agencies. There are no short cuts to this job.

What was the firm’s biggest deal of 2014?

£50 million.

Were there any interesting trends you’ve noticed amongst your buyers over recent years?

Our recent analysis looked at over 200 property purchases in Prime Central London since 2007.

In looking at transaction trends, it’s not surprising to note that the fewest transactions were during the height of the financial crisis in 2008, however, this was short-lived as Black Brick more than doubled the number of property purchases it made the following year.

Interestingly, budgets for investors (who make up 40% of all purchases) were on average, just over £2m in 2007, this fell to £1.31m in 2009, and reached just over £1.4m in 2014. Meanwhile, although average owner occupier budgets rose from £1.33m in 2007 to £2.92m in 2014, they’ve fallen from 2013’s peak of £4.66m.

The data also highlighted the fact the services of buying agents are not just for wealthy overseas buyers; UK purchasers form the third highest percentage of our buying clients.

The property market in London is time consuming, frustrating and difficult to navigate even for local buyers, hence the growing number of UK buyers within our client base. Our British clients tend to be busy executives from the financial services sector, who may have previously been looking for some time on their own, but have become increasingly disillusioned with not being able to find the right property, getting gazumped or having access to off market opportunities. Interestingly, 88% of our UK client base have been owner occupiers, buying a home rather than an investment, and the most popular postcodes have been SW1, SW3 and SW10 – mainly Chelsea and Belgravia with 70% of our UK buyers purchasing in these postcodes, dispelling the myth that prime Central London is purely dominated by international buyers.

What are you predicting for the London sales market in 2015? Is there going to be an optimum window for buyers, and if so, when?

2015 is likely to be a year of two very clearly defined halves split by the general election. Should the Conservative party win the May 2015 election, we expect an extremely active London property market and the opportunity to drive a hard bargain with vendors will be significantly reduced if not lost all together.

We believe the period between now and the general election may prove an attractive entry point to PCL property over the long-term, especially if prices are driven down by the changes in stamp duty.

Meanwhile, given the extent to which Labour’s proposed policy Mansion Tax policy has already been watered down, we do not expect a Labour victory to have a dramatic impact on London house prices – though some short-term weakness in prices is likely. For owners in the £2m to £3m price band, the Labour Party has outlined the cost of the Mansion Tax at £3,000 a year. We do not believe this is significant enough to precipitate any widespread selling should the Mansion Tax become law.

Our experience with previous tax changes affecting prime Central London property is that it is the uncertainty that buyers don’t like more than the imposition of the charge itself. In the recent cases of the higher Stamp Duty above £2m and the imposition of Capital Gains Tax for foreign owners of UK property the market paused while waiting for the precise details before regathering momentum.

What are your clients saying about the UK property market in general right now? Are any particular concerns holding them back from buying?

Some are showing slight hesitation about when to buy due to the looming general election, but most view the next six months as an opportunity. The recent dollar strengthening against the pound is also giving our dollar based clients an effective 11% discount off the price of UK property at the moment.

Where would you like to see Black Brick in five years’ time?

We are already one of London’s leading independent buying agencies, and I would like to see us expand into other parts of the UK. Buyers purchasing in other parts of the UK also need assistance and often university cities make great investments, so it would be interesting to develop the service outside of just Central London and the Home Counties. We are also expanding our Property Management and Vacant Care side of the business and in five years’ time I would love to see this side of the business make up 50% of Black Brick’s revenues.

Where would you personally spend a budget of £10m right now?

I would spread this across several properties, all sub £2 million and some sub £1 million, which is where I think the biggest growth will be over the next few years.

Black Brick closes in on £0.5bn milestone

It’s not easy to find out just how much business the UK’s top buying agencies are doing these days. Estimates vary wildly – and there’s no shortage of bluster – so it’s interesting when one of the big players tots up its figures over the last few years.

Seven years after launching from a loft in North London, Camilla Dell’s Black Brick claims to be closing in on a whopping £500m-worth of property acquired for its clients to date, racing to nearly £100m-worth in this financial year alone.

In all, there’s been nearly 200 deals made by the team since 2007, with 71% of the client base buying as owner-occupiers and the rest as investors; 75% are based overseas.

The firm did £30m-worth of transactions as a two-man start-up in year one, and appeared to defy the slowdown by increasing this figure by a pretty remarkable 60% to £74m in 2008 (a year best forgotten for many others).

The now nine-strong firm is planning to go big on property management in 2014 and will soon be introducing commercial property services to run alongside its established resi offering. Other revenue streams include a property concierge and a “Vacant Care Service”, which looks after their clients’ properties when they’re away.

Prophet & Loss: The difficult business of property market forecasting

Why did so many commentators and analysts get it wrong this year? Perhaps we still don’t fully understand the strength of the forces behind the price growth we’ve been witnessing, says Camilla Dell

Around this time of year, we are often asked for our forecasts for the next twelve months. Our view on forecasts is that they are interesting to discuss, but like the weather and stock market forecasts, they are often as inaccurate as they are accurate.

One agency was honest enough to admit in its 2014 forecast document that commentators and analysts have continually under-forecasted house price growth over the past 15-20 years. This was certainly true during the boom years of the late-1990s and early-to-mid-2000s, but it has also been the case during the bounce-back following the credit crisis.

While this is not a scientific reason to believe our “positive” forecasts, it does suggest that we still do not fully understand the strength of the forces behind the price growth we have been witnessing.

If it is possible to generalise about prime central London property, we believe that the sub-£2m frenzy will continue in 2014. We expect competition for properties priced below £1m to be particularly heated. A lot of the competition is down to the changing tax environment as it has become increasingly more expensive for buyers above £2m, either paying 7% stamp duty if buying in their own name, or 15% if buying in a company name.

Many of our investment clients are choosing to stay below the £2m level as a result, but interestingly, we are also starting to see evidence from our owner-occupier client base staying below the £2m level for fear of a future mansion tax.

However, our view is that Central London is not a homogeneous market. Prices on a per square foot basis can deviate significantly from area to area, from street to street in the same area, and from house to house in the same street, depending on a whole range of factors. This is precisely why we believe it’s so important to be guided by specialist advice, because if you don’t know the market in-depth as a buyer, or are unaware of specific factors affecting particular areas and streets, then understanding what price represents good value becomes very difficult.

Set out in the table below are the forecasts of the major agencies for Central London house price growth in 2014. When we produced the same table last year, Hamptons, Savills, Knight Frank and Jones Lang LaSalle all predicted zero price growth for 2013. However, barring a sharp collapse in prices in December, the PCL market is set to deliver high single digit price growth for 2013, and at the time of writing has risen every month in the year-to-date.

2014 Forecasts for House Prices in Central London and the UK

	Central London	UK
Hamptons	6.0%	n/a
Savills	3.0%	6.5%
Knight Frank	4.0%	7.0%
Jones Lang LaSalle	8.0%	5.0%
Cluttons	4.0%	n/a
Strutt & Parker	3.5%	4.4%
Chesterton Humberts	10.1%	8.2%

Meanwhile, we predict a fairly flat year for rents in central London in 2014. Help to Buy will inevitably take some renters out of the market and with more choice for tenants than ever before; the power is clearly with potential tenants. The top end of the rental market (properties priced at £1,000 per week upwards) may see some pick-up in demand. We are already seeing an increase in demand from our own client base, in particular from French clients looking to spend more time in the UK to escape the high tax environment back in France.

Uncertainty surrounding a possible future mansion tax may also drive more owner-occupiers looking to buy homes at the £2m-plus level to rent before buying and adopt a “wait and see” approach, waiting for the outcome of the next general election in 2015.

Prime Trends: South East Asian buyers

Demand for resi new-build is sky high and rising. CBRE revealed earlier today that the volume of such sales above £1,000 per square foot leapt by a whopping 240% over the last year and it’s been well-documented that South East Asian buyers have increasingly become a dominant force behind similarly remarkable figures, even shaping the way in which developers develop their schemes and marketeers market them.

A few months ago, Jones Lang LaSalle reported that buyers from China, Hong Kong, Malaysia and Singapore accounted for 51% of all new-property purchases in central London neighborhoods, up from 47% in 2010. Hong Kong buyers made 17% of the purchases alone, whilst Savills has reported that Chinese and Asian Pacific buyers accounted for just 5% of all purchases in the prime London resale market in 2011/12 (up from 2% in the previous year) but a stonking 31% of all purchases in the prime new-build market.

Meanwhile, the latest report on global wealth by Credit Suisse showed the number of billionaires in Asia had risen to 351, up from 245 in 2010. The same report showed Europe to have 251 billionaires, whilst North America accounted for a measly 332.

Indeed, almost every agency and developer in town has been throwing a vast amount of resources at this market, with satellite offices, roadshows and representatives springing up all over South East Asia. But what exactly do these buyers look for in a new-build scheme and how can developers and agents attract their invaluable interest? We’ve asked some of the top names in the business to spill the beans…
It’s all about short term investment…
Guy Meacock of Prime Purchase: “It is generally accepted that South East Asian buyers are more driven by yield than capital growth. Their mindset is much more focused on the short term gain, which is one of the reasons why they invest heavily in new developments. Often buying off plan and selling just a few years later when the scheme has come out off the ground. They see London as a sensible place to invest recent financial gains; hence why developers take schemes on roadshows to key cities in Asia. They have a very different attitude towards property compared to the west and are hardwired towards what they are used to living in at home; namely apartments.”

Far from drying up, demand is more akin to an eternal fountain…

Glentree Estate’s Trevor Abrahmsohn: “There is certainly a rich seam of buyers from South East Asia particularly Singapore, Hong Kong and Malaysia. In fact, we have seen a few Malaysian oligarchs buy chunks of London property notably the former St John’s Wood Barracks where a price tag of £250m was achieved for this trophy site. To be honest most buyers from this region are not so ‘well-heeled’ and probably have an average budget of around £500-£750,000.

These buyers tend to be well educated and hold a warm affinity with London and the UK probably based on England’s Colonial past and its influence in this region in terms of its judiciary, culture and customs. For them to hold a piece of UK real estate is akin to owning a part of English Heritage that they cherish and respect.

There are various reasons why they buy into the London residential property market. Their currency, hitherto, has done well against the pound and they are looking for a buy-to-let investment. When the property is vacant their children, who invariably are sent to universities in London to study, use the accommodation for themselves and when they are not in residence the parents could use it as a pied-de-terre to save hotel costs. It can also provide a very useful pension in later life.

They do insist on there being good transport facilities nearby and their preference is for some sort of landmark building, preferably, a tower that stands out from the streetscape. If they have Chinese origins Feng Shui can play a part but this is not always the case.

From time to time pundits have commented that this seam has been exhausted by the number of developers who make the pilgrimage to the Capitals of South Asia with their latest offerings. But every time they declare the ‘well’ dry a new crop of buyers’ turns up.

So less a well and more an eternal fountain – long may it continue!”

Education and stability are the main draws, but buyers should look before they jump…

Black Brick’s Camilla Dell: “Asian buyers are hugely important to the prime and also general London property market. London property has become hugely attractive for many Asian buyers, where many investors feel that their own local property markets have become over-heated and are about to fall – for example property prices in Hong Kong are higher than London. In addition recent changes in stamp duty and capital gains tax is making investing in residential property in Singapore less attractive with significant penalties if investors sell within the first three years of buying a property.

We have experienced strong interest from Malaysians investing into London property is to act as a diversifier. Most of our clients recognise that London is a safe and desirable market and owning a London property makes a lot of sense. Many Malaysians also choose to educate their children in the UK and again, it therefore makes sense for them to have a London base for the children to spend weekends and school holidays. The sterling exchange rate has resulted in their money going further, making London much more attractive for Malaysians compared to Australia, where the strength of the Australian dollar has made it far less attractive for Malaysians to buy.

Buyers and investors from SE Asia are driven by their children being educated in the UK. We often look after clients who are buying a flat for their children to use whilst studying in the UK rather than renting. In central London, Imperial College in South Kensington is extremely popular with international, often wealthy students, and we will often look at this area for our investment clients as there is substantial demand from students to rent accommodation close by to the college. For example, last years we looked at acquiring a freehold building on Elvaston Place SW7 on behalf of one of our investment clients for £7 million. The building was split into 20 studios and 1 bedroom flats, and 90% of the tenants were from Imperial College. The building therefore had very few void periods and was producing a healthy rental yield of 5.5%, which is above average for central London rental yields which are normally around 4 to 4.5%.

The London Business School in Regent’s Park is also a very popular college, especially with international students and we often advise investment clients to look to these areas as a good place to buy a buy to let investment property. Buyers still need to take advice however. Just because a property is located close to a good school or university does not automatically mean it will make a great rental investment. There are other important factors that need to be taken into consideration as well, such as pricing, the quality of the building, location, proximity to shops and transport links. As with all investments, it makes sense to take advice before buying and engage the services of a reputable independent buying agent.

Asian buyers are significant buyers of London property, particularly off plan new builds. Many of these buyers buying off plan property in London end up making big and often costly mistakes, thinking the development is prime when in reality it isn’t. Developers often take their new off plan developments and market them in Asia to unsuspecting buyers. Asians are used to buying off plan, however buying off plan in an unfamiliar market and city has big risks. Examples of this include 375 Kensington High Street which is being marketed as a prime address, when the reality is its the wrong end of the Kensington High Street and close to Earls Court. Other developers have marketed their schemes as being in central London when the reality is by different.”

Battersea Power Station apartment
South East Asia is now the first-choice launch platform for new developments…
Adam Stackhouse, Head of Developments, Investments & New Homes at Marsh & Parsons: “Generally, buyers from the South East Asia are benefiting from their new found wealth and appetite for London property by being the first choice launch platform for prime London stock that is being sold ‘off-plan.’ Remarkably, this is resulting in the best properties in the capital being made available to overseas buyers first and enabling them to secure some of the very best stock that will be built across the Capital over the next two to three years, before UK residents are invited to view.

These buyers are targeting properties located predominantly north of the Thames with excellent transport links and often a well known London landmark being within relative walking distance. Developers are deliberately ensuring that the traditional porter and lift service arrangements are ‘trumped’ with 24 hour concierge services and ‘in-house’ personal assistants that prepare the properties before arrival right up to the very latest glossy magazine.

The most direct and successful route to this buying audience is to take the properties to them, launching a property overseas to a specific audience of relevant buyers and ensuring that they are provided with a secure and rapid buying environment. This will often involve UK agents setting up joint marketing initiatives with some of the specialised operators in South East Asia who have spent many years developing a database of wealthy nationals keen to invest in London real estate.”

Expect plenty of interest in the new One Tower Bridge scheme
Investment and education prospects are keeping the demand high…
Trish Henderson, Sales and Marketing Director, Taylor Wimpey Central London: “Investors from the Far East, in particular Singapore and Hong Kong, have been key drivers in the high-end London new build residential market. These buyers are looking for solid investment properties, but more and more, properties in areas that offer a great range of lifestyle and education options for their families.

We have seen a surge in interest in areas such as West Hampstead and Camden where spacious apartments can accommodate their families, where rental returns are expected to remain strong and where good transport links provide easy access to a variety of good schools and universities across the capital.”

Battersea Power Station attracted record sales at its launch this month
St James has just set up a dedicated office in Hong Kong to take buyers through the buying process, with some surprising reactions…
Developer St James has sold 70% of the first phase of Riverlight to buyers in Singapore, Hong Kong and China. What the Singaporean buyers are liking about the development is that originally they saw it as a great investment – they’d get good capital growth, strong rental yields and they perceive that London is a safe place to invest in. Values in the Nine Elms area are expected to rise by 140% as reported by Knight Frank in their London Hotspot Report, with property prices anticipated to rise to £2,250 per square foot in 2016. They’re also interested in securing a home base for their children who they anticipate educating in London once they get to university. Of course, water is considered auspicious and is an important part of Chinese philosophy as it’s part of the five elements, they love the river front location as well.

Riverlight has taken a very personal approach to taking their SE Asian buyers through the buying process. They are the first developer to set up a dedicated office in Hong Kong for purchasers to be taken through the fun part of buying process – choosing their kitchen fit outs, bathrooms and so on. Much like the traditional British tailor takes you through the whole process of having a suit made bespoke to your specific requirements, St James are taking their Singaporean buyers through the same process (they’re flying out specifically for this process)…it’s a really nice way to make the development real when a) it hasn’t been built yet and b) is so far away!

What the sales team weren’t expecting was that when they went out to meet with their buyers to take them through their choices for kitchens, bathrooms, carpets and finishes…lots of them starting saying they’d considered using the residences for personal use. St James weren’t expecting this change of sentiment from being purely investment focused to thinking about their purchases for personal use.

Fitzroy Place duplex interior
Location, location and return assessments…
Linda Beaney, Development Director Beaney Pearce: “The main criteria for Far Eastern purchasers of new developments primarily are a) central b) safe neighbourhoods c) well-located for the tube and in locations which will readily appeal to rental investors, to whom the majority will be letting their units.

Those who don’t buy for rental investment primarily buy for their children studying in London. Developers frequently undertake marketing exhibitions in the Far East immediately prior to any UK launch as the buyers there like to feel they are the first to cherry pick the apartments off plan when they are pre-sold.

Oriental buyers are highly driven by superstition and so unlucky numbers such as 4 will be avoided whilst 8 is deemed the opposite. Some developers change marketing numbers and scheme names especially gearing them to take such superstitions into account. Equally, certain colours are deemed fortunate and others – white, for example, less so. Detailed net return assessments including achievable rents and costings for fully furnishing units and provision for average occupancy levels need to be provided for the buyers to consider, as well as past statistics for capital growth.

Buyers can be reached in these markets either through agents who have good representation in the Far East and or through and agents such as Beaney Pearce. We have built up a vast portfolio of Far Eastern investment landlords through our development sales and lettings services over many years.”

Efforts are ramping up to cater for this extraordinary wave of wealth…
Davide Ruggiero, Founder of luxury property portal Te Atrium: The last few years of economic boom have brought with it a new wave of Chinese wealth. Along with Russia, China has seen the biggest increase in global billionaires in recent years, and in August 2012, the number of millionaires surpassed the 1,000,000 mark. The interest in foreign property investments shows no sign of abating as the domestic political and economic environment is still less predictable than the one of Western countries and therefore the Chinese look abroad for good values.

London’s enduring attractiveness stems from its combination of stable yields, diversified demand and lax foreign investment restrictions. According to research from Chesterton Humberts, in June 2012 the Prime London residential yield stood at 4.22%, and well below 4% for some of the most exclusive neighbourhoods such as Belgravia, Mayfair, Chelsea and Kensington. In December 2012 luxury property prices in core central locations were up 8.7% year-on-year according to Knight Frank Research, with Hyde Park, Knightsbridge and Islington leading the way in recent months.

In addition, Chinese currency appreciations have made real estate more affordable, even though property prices have risen significantly in recent years.

While some Chinese buyers mainly desire to make a stable investment and rent out their property after purchase, many others are looking to use the property as a base while at university or business reasons.

Within London, the Chinese often tend to buy apartments in new developments, with the most alluring around Knightsbridge. One Hyde Park near Knightsbridge is an ultra-luxury development managed by Candy and Candy with apartments from £7m to £136m, with more than 80% foreign buyers, of which 40% are Asian. In the last month, the five latest flats sold in the complex were to Asian buyers at an average of £6,000 per square foot.

While there are canny investors, more often, Chinese buyers just have an idea of what they want and are able to make a cash purchase. The risk is that they may not be aware of significant price differences between core locations and less prestigious ones and end up paying an unnecessary premium or, more simply, buying an overpriced property. Because property acquisitions often require the expertise of various professionals, at Te Atrium, we recommend the most qualified local partners that offer not only property finding services but also tax, legal, financing and immigration services to ensure a successful transaction.

Our business, as with many of our UK based partners, are ramping up our efforts both at home and abroad to target this growing Asian market. We currently have a high number of Asian clients using our service to find property in London through the trusted agents and developers listed on our site.

Many of our partners in the capital have invested in hiring Chinese-speaking brokers and are also finding development projects tailored to Chinese culture by incorporating Feng-Shui design, building a separate space for a wok kitchen, omitting the number four, which is thought to be ominous, and incorporating the number eight, which is thought to be lucky.

Chinese numerology apart, as 2013 starts, those real estate companies dealing with Far-East property investors should enjoy a prosperous year.

The forecast for the prime London market? That depends on which part…

Forecast season may be upon us, but headline figures are of little use in the micro-markets of prime London, says Camilla Dell…