12:00 AM 19th August 2024
business
Image by PublicDomainPictures from Pixabay
Investment in Yorkshire’s real estate market bucked the national trend by outstripping the long-term average rate in the first six months of the year, according to research from global property advisor JLL.
JLL’s research showed the region’s property sector attracted £849m of investment in H1, a 30% increase on the region’s 10-year average.
The region’s real estate investment figures marked a contrast to that seen across most of the country, where political and economic uncertainty meant totals fell below the 10-year average trend.
The UK as a whole saw a 25% dip in investment in the first six months of the year when compared to the 10-year average.
JLL’s research showed investment in the country’s property sector reached £16.2bn in H1, down on the 10-year average of £21.5bn but in line with figures seen in H1 2023. Although headline volumes remained a little subdued throughout the first half of the year, overall volumes including M&A, land and development investment increased 12% year-on-year to £22.6bn.
The data also shows international investors remaining active in the UK, accounting for 52% of the total in H1 and reaffirming confidence in the UK real estate market.
Elsewhere, the living sector, which includes all segments of the residential market including student accommodation and retirement homes, maintained demand attracting the largest proportion of investment for the third quarter running. JLL’s research showed it attracted £4.8bn in investment, accounting for a 30% share of the market.
“Yorkshire’s real estate market – like its wider business community – continues to show resilience in the face of the economic headwinds it has faced. A recession at the end of last year, high interest rates and an uncertain political backdrop make its performance even more impressive.
“Stability in policy, proposed changes to the planning system to make building less burdensome and optimism that interest rates will continue to fall means many will be eyeing the second half of the year as an opportune time to investment. Those factors will, in turn, be crucial to driving the economic growth the new government is aiming for.”