Tag Archives: australian
New committee formed to promote Build to Rent sector in UK
The British Property Federation (BPF) has announced the creation of a new committee that will focus on promoting the emerging build to rent sector. At a time when the housing crisis is acute and private renting has overtaken the social housing sector as the second largest tenure in the England, the committee will reinforce the important role that build to rent can play in increasing housing supply and tenant choice. It will work to ensure that both local and central government continue to support the sector, and create the right conditions to encourage investment and speed up delivery of this new housing product. The committee, which will be formed as a sub-set of the BPF’s residential committee, will be chaired by Andrew Stanford, UK residential fund manager at LaSalle Investment Management and former head of the government’s Private Rented Sector Taskforce. Adam Russell, acquisitions manager at FizzyLiving, will act as vice-chair. ‘Build to rent fits so well with so many of the new government’s priorities, delivering new supply of quality rented homes, accelerating the speed of housing development, making good use of brownfield sites, supporting place making and meeting customer needs,’ said Stanford. ‘There are many innovators in this new market and I am so pleased we have brought many of them together, in this new group, to drive that important dialogue with local and national government forward,’ he added. Continue reading
US home sales reach eight year peak and prices all time high
Existing home sales in the United States increased in June to their highest pace in over eight years, according to the latest monthly data report from the National Association of Realtors. It also shows that the cumulative effect of rising demand and limited supply has helped push the national median sales price to an all-time high of $236,400. Sales increased by 3.2% and all regions experienced sales gains in June and have now risen above year on year levels for six consecutive months. Sales are now at their highest pace since February 2007 and have increased year on year for nine consecutive months and are 9.6% above a year ago. ‘Buyers have come back in force, leading to the strongest past two months in sales since early 2007. This wave of demand is being fuelled by a year plus of steady job growth and an improving economy that's giving more households the financial wherewithal and incentive to buy,’ said Lawrence Yun, NAR chief economist. ‘June sales were also likely propelled by the spring's initial phase of rising mortgage rates, which usually prods some prospective buyers to buy now rather than wait until later when borrowing costs could be higher,’ he added. The median existing home price for all housing types in June was $236,400, which is 6.5% above June 2014 and surpasses the peak median sales price set in July 2006 of $230,400. June's price increase also marks the 40th consecutive month of year on year gains. The data also shows that total housing inventory at the end of June inched 0.9% to 2.3 million existing homes available for sale, and is 0.4% higher than a year ago when it was 2.29 million. Unsold inventory is at a five month supply at the current sales pace, down from 5.1 months in May. ‘Limited inventory amidst strong demand continues to push home prices higher, leading to declining affordability for prospective buyers. Local officials in recent years have rightly authorized permits for new apartment construction, but more needs to be done for condominiums and single family homes,’ Yun explained. The percent share of first time buyers fell to 30% in June from 32% in May, but remained at or above 30% for the fourth consecutive month. A year ago, first time buyers represented 28% of all buyers. Properties typically stayed on the market for 34 days in June, down from 40 days in May and the shortest time since NAR began tracking in May 2011. Short sales were on the market the longest at a median of 129 days in June, while foreclosures sold in 39 days and non-distressed homes took 33 days. Some 47% of homes sold in June were on the market for less than a month, the highest percentage since June 2013. According to NAR president Chris Polychron, real estate agents are reporting drastic imbalances of supply in relation to demand in many metro areas, especially in the West. ‘The demand for buying has really… Continue reading
Firm identifies trend for changing commercial buildings for residential use
There is a growing trend in the property market in Scotland for empty commercial buildings to be changed into residential use, according to real estate consultants. Many commercial properties have recently being sold with a view to being occupied for alternative use, according to CKD Galbraith, which is increasingly being asked to evaluate the future potential of a building when valuing the property. The firm says that within the commercial sector, a number of buildings utilised as commercial properties are now being marketed with a view to change of use to residential and offering opportunities for private individuals and property developers. ‘We have been involved in many sales of commercial properties where we have determined that demand for commercial uses was limited and that a property’s prospects were greatly enhanced by promoting them for alternative use, in particular residential,’ said Harry Stott, of CKD Galbraith’s commercial team. Many present fantastic residential opportunities for developers or potential home owners alike to create some unique and stunning homes full of character and history,’ he added. This trend also particularly applies to town house properties in Edinburgh, according to Katie Gibson, a commercial agent within CKD Galbraith’s Edinburgh office. The firm was recently been involved in the sale and purchase of Edinburgh Townhouse Commercial properties in Gayfield Square and Chester Street, which again were of more interest to the residential market. ‘Whilst there is greater demand in Edinburgh for commercial use of town house buildings the potential returns and demand are often far greater for residential conversion particularly in the New Town,’ she explained. ‘We also get a number of private client requests looking to purchase town houses and commercial buildings that have outlived their current usage and offer fantastic opportunities for residential conversion,’ she added. Other examples include the former Ballathie Estate Office which offers limited demand as a commercial property, but presents a prospect for residential purposes subject to consent. Situated in a rural location in Perthshire, it is a single story U-shaped stone building arranged around a private courtyard with feature archway. The property was constructed in 2001 and has been utilised as a farm shop and café and estate office. The internal accommodation comprises two self-contained units which could be used as two separate residential units or linked to form one larger property. North Range, East Lodge at Stanley Mills is another such commercial property which lends itself well to potential residential use. Formerly used as office space it is part of Stanley Mills, a listed complex of buildings established as a cotton mill in the 1780s. However, restricted demand in the area for office use has resulted in CKD Galbraith applying for a change of use consent on North Range, East Lodge to residential which is where the firm believes the principal demand lies. Continue reading
