PRESTON PROPERTY GUIDE
2019
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Preston Property Guide 2019
UK buy-to-let: A sensible investment In an uncertain world the stability of the UK buy-to-let housing market is a welcome relief for investors; strong historic growth is allied with solid foundations for the future to create a winning combination. It is no exaggeration to say that the UK is
households will be renting by 2021 – a
in January 2019 that UK rents will rise
becoming a nation of renters. As house
total of five million households. Of those
11.4% in the next five years and that house
prices become decreasingly affordable,
households the most well represented
prices will grow 13.1% over the same
more and more people join the Private
age group will be 25-34-year-olds who
time period. It is not a surprise that so
Rented Sector (PRS) for the long term. With
are finding it almost impossible to get on
many people want to invest in the sector,
real terms wage growth in the UK having
the property ladder, leaving renting as the
and according to the English Housing
been stagnant for a decade, this is not
only option.
Survey there are at least 2.5 million more
likely to change soon.
landlords now than there were in 2000. This creates a problem of dwindling
It is estimated that UK landlords earned
Renting has become the status quo
supply at a time of overwhelming
more than £34bn in the 2017/18 financial
to the point where Knight Frank has
demand which pushes up both rents and
year, representing year-on-year growth
predicted that almost a quarter of all UK
house prices. For example, CBRE predicted
of 4.3%.
Where to put your money? Once you have decided to invest the question is: where? It is tempting to gravitate towards the biggest, most highly regarded city centre markets and find the best deal you can – and this isn’t a bad strategy. The biggest markets are at the top of the charts for a reason. However, there is also a lot to recommend heading slightly off the beaten track to find similar conditions in a less well-known location. If you can find a location with good transport links, a strong business base, a large future investment programme and a housing market with room to grow then you have a winner. Preston fits the bill on all counts.
Preston
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Preston: A buy-to-let hotspot in waiting Preston is the third largest city in the North West, and the largest in its county of Lancashire, following the award of city status in 2003. This is a confident, welcoming city which is friendly to business and regularly performs well in PricewaterhouseCooper’s Good Growth for Cities Index which analyses jobs, transport, average incomes and work-life balance among other things. Preston is located on the West Coast
opted to follow a different path and
Mainline and is only 40 minutes from
spend as much money as possible with
Manchester and 50 minutes from
local people and businesses in order to
Liverpool by direct train, as well as
boost the economy. The ‘Preston Model’
also having direct links to London and
is succeeding following a commitment
Glasgow. In addition, the city sits at the
to paying the real living wage to public
heart of a motorway network which
employees and dividing council and
makes it an incredibly attractive place for
public-body contracts into sections
businesses looking for logistical access to
which suit local businesses rather than
the rest of the UK.
offer them out as one enormous contract
The city hosts the University of Central
KEY HIGHLIGHTS House prices in Preston have increased by 19.56% in the last five years (Zoopla, Q1 2019)
Preston has easy access to the M6, M61, M65 and the M55, all key Northern motorways
Preston is only 40 minutes from Manchester
The Preston economic model has been so successful it is now being trialled in other towns across the UK
pounds brought to the area by students
which only suits the likes of Carillion or
– an unusually high percentage (37%)
Lendlease. In four years from 2013 the
of UCLAN graduates choose to stay
amount of money spent locally more than
The University of Central Lancashire is based in Preston and supports 40,000 staff and students
in Preston following graduation. This
doubled, and this has directly resulted in
provides the city and businesses with
people and businesses wanting to move
an invaluable, highly trained workforce
to Preston.
Lancashire (UCLAN) which is home to almost 40,000 students and staff and provides innumerable benefits. As well as the usual positive aspects of a city university – such as the millions of
across fields as diverse as engineering,
Preston is only 40 minutes from Manchester and 50 minutes from Liverpool by direct train
manufacturing, digital and creative and
House prices in Preston rose by almost
logistics.
20% in the five years preceding Q1 2019
Preston was named the UK’s most improved city
according to figures from Zoopla, and
(PricewaterhouseCooper and Demos, 2018)
Economically, Preston is something of
further growth is anticipated in the
a pioneer in the UK. There was nothing
future following extensive programmes
to make the city truly stand out until
of planned investment. Preston is a city
the collapse of a shopping centre deal
on the up and this is the perfect time to
in 2011. Since then the City Council has
invest.
The Preston and Lancashire City Deal is worth £434m and is transforming the city’s infrastructure
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Preston Property Guide 2019
An investment hub Preston is a city which inspires people to invest in its future. A great location, strong businesses, a higher education sector going from strength to strength and a growing reputation for radical economic excellence has resulted in an impressive programme of investment which is changing the city. Here are some highlights:
£434m The value of the Preston and Lancashire City Deal Preston City Council
The Preston and Lancashire City Deal The Preston and Lancashire City Deal has
17,500 new homes. It is estimated that
commercial projects in the city region off
been described by Preston City Council
these developments will grow the local
the ground as well as ensuring developers
as a “landmark agreement” that is in
economy by £1bn by expanding the
can get housing projects started.
the process of transforming the city and
benefits of Preston’s already excellent
building a resilient modern economy.
location and allowing businesses to make
Vital to any attempt to equip a city for
more of the highly trained workforce
the future is the creation of transport
which exists in the city.
infrastructure which will allow growth, and the City Deal is addressing this with
On top of this extensive private
investments worth £434m.
investment, the City Deal also includes the launch of a new £100m investment
By undertaking major new road schemes
operation created by Lancashire County
to the North, West and South of the
Pension fund. This fund will be managed
city, this investment aims to create
on behalf of those with local government
20,000 new jobs and build almost
pension schemes and will help to get
Preston aims to create 20,000 new jobs and build almost 17,500 new homes
University of Central Lancashire (UCLAN) Masterplan UCLAN is a major employer in Preston
Spaces, Oasis: Faith and Spirituality Centre
By creating a skilled workforce which
and provides thousands of graduates to
and the Student Centre and New Square –
meets the needs of local and regional
the city every year as well as undertaking
will help to create a “unified, sustainable
businesses, UCLAN is one of the pillars
ground-breaking research which
and welcoming campus” which will
of the community in Preston. When the
inspires new businesses. With a city
enhance all the benefits of UCLAN. In
Masterplan is complete in 2020, UCLAN
centre location, UCLAN is at the heart of
particular, the Engineering Innovation
believes that it will be a key driver of job
everything in Preston, and a new £200m
Centre looks set to bring more money
growth and local regeneration, as well
masterplan development is cementing
into Preston by integrating teaching
as being a key attractor of further inward
the university’s importance even further.
and research and putting the city at the
investment for Preston.
heart of the aerospace, mechanical and Four major new developments – the
engineering revolution which is unfolding
Engineering Innovation Centre, the Social
across the North of England.
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A connected city Preston is one of the most well-connected cities in the UK. Road and rail links to major cities across the country – including Manchester, Liverpool, Glasgow, Birmingham and London – make Preston an ideal place to live and the perfect location for businesses which rely on good logistics. In addition to the current network and the ongoing investment into the road network, Preston will also benefit from the upcoming HS2 high speed rail network which will reduce journey times from North to South.
Road network
Train network Train network times (direct trains): Manchester: 40 mins Carlisle
M6
Liverpool: 50 mins
Colne
Birmingham: 1 hr 48 mins
M65
Blackpool
M55
Preston Bolton
M62
M60
Leeds
M61
M6
M58
Wigan
M67
M62
M6
M57
Liverpool
London: 2 hrs 11 mins
Manchester
M602
Sheffield
M60
Glasgow: 2 hrs 18 mins
M62 M56
Manchester Airport
M6
M6
Birmingham
North West UK motorway map
Preston city centre
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Preston Property Guide 2019
Knight Knox Knight Knox is a market-leading property consultancy with a particular focus on city centre residential markets in many of the UK’s outstanding cities. We are the driving force behind every stage of the development, from the initial land acquisition, through the planning and development of the scheme, and onto the eventual sale and ongoing property management.
Our presence at every stage of the property lifecycle allows us to design our developments with the occupier in mind from the very beginning and ensures that we have a real stake in making every home perfect. Knight Knox is a unique property consultancy and our outstanding portfolio is second-to-none.
With departments which specialise in land acquisition, design, marketing, financing, lettings, property management and sales, we are one of the few companies which is involved at all stages of development.
“It feels good to deal with a company you can trust” Mr P. Nelson - Knight Knox Investor
How to invest in Preston
Cannon Street Preston Cannon Street is the latest development
that Cannon Street has a waiting list of
from Knight Knox and The Heaton Group
potential tenants ahead of completion.
and comprises 14 apartments located only minutes from the centre of Preston. The
Modern, high-gloss kitchens and
city has a shortage of high quality rental
bathrooms, neutral floors and a focus on
accommodation, and developments like
providing optimal amounts of natural light
this which are close to the centre, the train
complete the apartments, and additionally
station and local amenities are extremely
some have unique features such as a
popular with renters – so popular in fact
private roof terrace.
Invest in a growing market from £99,000 Please visit www.knightknox.com or call +44 (0)161 772 1370 for further information.
Figures correct at time of print (January 2019)
7
90+
60+
ÂŁ1 BILLION+
Total number of UK projects launched
Number of completed and occupied developments
Total value of all UK projects launched
As featured in:
Development portfolio
Station Terrace Preston
The Sorting Office Preston
Station Terrace is a sensitive conversion of two characterful
The Sorting Office is a beautifully arranged building which
adjoining terraces into 17 modern apartments with secure
manages to provide high quality modern housing whilst
parking. With an outstanding location approximately five
retaining the character of the original brick building via a
minutes’ walk from Preston train station, the city centre shopping
sensitive regeneration and the addition of a state-of-the-art
area and the main business areas of Preston this is the perfect
extension and roof terrace.
location for young professionals looking for high quality rental accommodation.
Contact us Whether you are looking for a high-yielding investment property or would like to enquire about becoming part of our extensive Agents Network, please contact us to set up a meeting to further discuss your requirements and determine how Knight Knox can best help you. Get in touch Address: Knight Knox, Quay West at MediaCityUK, Trafford Wharf Road, Manchester M17 1HH Tel: +44 (0)161 772 1370 Fax: +44 (0)161 241 5360 Email: info@knightknox.com Find us online Website: www.knightknox.com
The content contained within is correct at the time of publishing (January 2019).