Few cities can rival London’s international status. The city’s historical sites, theatres, tourist attractions, colleges and shopping entice interest from just about everywhere. Similarly prime London property has charmed investors worldwide. Russians, Arabs, Singaporean, and Greeks have all been active property investors in London.
Recently the Chinese have joined in and displayed serious intent. The slowing down of the property market in China has inspired the Chinese to look elsewhere to invest their capital. The massive tax hikes in neighboring Singapore and Hong Kong have turned the Chinese towards the UK. Unlike in the US, the UK doesn’t tax investors on their global wealth.
According to statistics, out of the top ten investors in London property last year, Chinese investors are now at the fourth place with Italy. Only the domestic UK buyers, the Russians and investors from the UAE are placed above them. Interestingly the Chinese have been granted the most tier-1 investment visas by the Home Office and have comfortably left the Russians behind here.
The Chinese are fascinated by London due to its rich heritage, its excellent private schools and universities, its shopping and moreover its upcoming development projects.
Most Chinese investors have preferred investments below the million pound mark in areas like Islington, Wandsworth and Clapham. However larger investments have also come in; a leading Chinese developer has signed a £1 Billion deal to build a new financial district in London’s Royal Albert Dock. This magnificent development features offices, shops and homes on a 35 acre area in the London docklands. Upon its completion by 2021/22 this area might very well become a gateway for Chinese businesses looking to set up in Europe.
Written by Omar Butt
Director Henry Sterling
Henry Sterling is a property search and acquisition consultancy based out of Mayfair. Henry Sterling takes pride in providing a discrete, personal and bespoke service to private individuals, international investors and corporate clients who seek professional assistance with their property search.