Wednesday, 3 June 2015

The London Real Estate Forum 2015

Mayor of London Boris Johnson at LREF 2014 © Paul Coleman, London Intelligence 2014

Organisers hope warm summer sunshine will once again flare through Berkeley Square’s majestic Victorian plane trees for at least two days next week (Wednesday 10 - Thursday 11 June).
The London Real Estate Forum 2015 promises to transmit a steady stream of signals that will pinpoint the future direction of the capital’s property market - and hint at its impact on London’s wider political economy, writes Paul Coleman.

Day One on Wednesday inside the event's Berkeley Square marquees focuses on London’s office market whilst Thursday’s theme centres more on the three ‘r’s – residential, retail, and regeneration.
It will be interesting to see if more delegates than last year attend LREF 2015 briefings on development and investment opportunities arising in outer London boroughs; for instance, in more risky London areas targeted for housing-led ‘regeneration’, such as Tottenham, and parts of Barnet, Croydon, Ealing and Southwark.
Local authorities will try to use LREF 2015 to both formally and informally alert developers and investors to development opportunities within their borough – similar to the way they seek to use the annual MIPIM real estate jamboree held at Cannes on the south of France. Elected local councillors and local authority regeneration and planning officers due to speak at LREF 2015 include:
  • Councillor Robert Davis (Westminster City Council)
  • Cllr Daniel Astaire (Westminster)
  • Cllr Ravi Govindia (Wandsworth)
  • Cllr Alan Strickland (Haringey)
  • Ed Watson (Camden)
  • Stephen Platts (Southwark)
  • Pat Hayes (Ealing)
  • Stephen McDonald (Barnet).
Organisers say LREF 2015 will be different than the past two events as it features a ‘showcase area showing significant development across all 33 London boroughs’.

Mayor of London Boris Johnson addressed LREF 2014 delegates.
The main signal emanating from LREF 2014 suggested capital would continue to flow into London’s booming segmented property markets – residential, commercial office, retail, hotel, and student accommodation. This proved right. However, unlike the mutually beneficial relationship between bees and flowers, this capital inflow has not enabled Londoners on average and lower incomes to make their lives bloom with secure and genuinely affordable homes. 
Residential property market investment, both by short-term speculators, or by longer-term players like sovereign wealth funds, continues to thrust central London house prices and rents beyond the reach of many Londoners.
And, worryingly, this over-heating market is driving outer London prices and rents beyond their reach too.

The full version of this article can be viewed at London Intelligence.

© Paul Coleman, London Intelligence, June 2015

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