More and more Middle East investors are being drawn to the UK market with a strong interest in central and outer London areas, real estate consultancy firm Knight Frank said.

“We continue to see strong interest in central and outer London areas. Country houses with easy access into London have appeal as second homes, however, central London is where we see the most frequent demand for investment,” Henry Faun, Head of London International Project Sales at Knight Frank Middle East told Zawya.

Regional investors were ranked in the third place in buyer rankings, for snapping country houses of more than £5 million ($6.45 million), the global real estate consultant said, noting that UK and European buyers maintained their positions in first and second place.

In 2019, the market share of Middle East investors in the £5 million-plus sector went up three times compared to 2018.

“The attraction of private education options is particularly significant to Middle Easterners seeking to place their children in the UK education system. Areas in close proximity to London, such as North Surrey, have been extremely popular with Middle Eastern buyers,” Faun said.

Ample educational facilities are not the only factor that’s drawing investors.

“Beyond the pull for the best secondary schools and university education, many Gulf nationals have been attracted to the weaker Pound Sterling vs the US Dollar pegged currencies. Many investors who already have a broad portfolio in the Gulf are appealed by the opportunity to diversify their investments into the UK markets,” he added.

European investors share of the market nearly doubled to 20.7 percent in 2019, while UK buyers’ share dropped slightly to 58.6 percent from 69.2 percent, Knight Frank said.

(Reporting by Gerard Aoun; editing by Seban Scaria)

(Gerard.Aoun@refinitiv.com)

#realestate #MiddleEast #London #investors

Disclaimer: This article is provided for informational purposes only. The content does not provide tax, legal or investment advice or opinion regarding the suitability, value or profitability of any particular security, portfolio or investment strategy. Read our full disclaimer policy here.

© ZAWYA 2020