Kent’s property market is “capable of weathering the storm”

The latest Kent Property Market Report points to encouraging “key indicators”. Indeed the county seems to buck the trend in some sectors of the market.

Recognising that the country has experienced the economic shocks of the emergence from Covid; the war in Ukraine, and rises in inflation and interest rates, the report highlights that Kent’s property sector is showing early signs of recovery with investment coming forward, especially in the logistics and distribution, science park sectors, and the tourism and leisure industry.

Caxtons Property Consultants’ are authors of this comprehensive report, now in its the 32nd edition, which is produced annually alongside partners Kent County Council and Locate in Kent.

Across the UK, house sales and house building have taken a hit over the past year. However in Kent there is a “much more mixed picture”. House prices increased on average by 2% in the county over the year to the end of June, according to Land Registry figures.

The High Street is still struggling with customers moving to online shopping. However, the report talks of “green shoots” as coffee shops, hospitality and independent traders open new outlets. Kent’s out of town retail sites such as Bluewater and Ashford Designer Outlet are “flourishing” and some new supermarkets are opening across the county.

Kent’s Science and Business Parks are continuing to attract inward investors. Discovery Park, in Sandwich, has seen “a surge in demand” and is estimated to be worth more than £324 million a year to the economy.

As the office market shows “signs of improvement”, the report finds evidence of “the flight to better quality offices”. Work is needed to reach energy performance ratings required by 2027.

In spite of a slowdown in the UK’s industrial and logistics market, Kent “continues to buck the trend” with significant increases in rents.

Commenting at the launch of the Kent Property Market Report, Mark Coxon said “Kent’s industrial property sector continues to blaze a trail for growth, with developers benefitting from rental growth that’s beyond the South East average. While land values may have fallen from their peak, investment continues notably in Dartford, Medway, Sittingbourne, and Tonbridge and Malling.

“The impact of how many of us have changed the way we work, especially those who are office-based, is now playing out with businesses and the public sector reviewing their property requirements. With hybrid working looking like it is here to stay, the biggest winners are the co-working space providers, with Kent increasingly well served at the moment.”

Overall, the outlook for the property market is “markedly different” to 2022. However, the report says: “Key indicators suggest that the Kent property market is capable of weathering the storm.”

Find out more about the changing face of Kent’s property market, head to www.caxtons.com/kpmr/ to download the 2023 report.