SHEFFIELD PROPERTY GUIDE
2019 Celebrating 15 years in business
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Sheffield Property Guide 2019
Why invest in buy-to-let property? UK buy-to-let property remains one of the best investment opportunities in the world and the market continues to grow and thrive. The reality is that there are not enough rental homes to meet demand and this pushes rental yields upwards. Every year more people of all ages are
Investors are looking further afield and
becoming reliant on the Private Rented
are reaping the rewards.
Sector (PRS) for their accommodation, with Knight Frank predicting that almost
Sheffield has the potential and the
a quarter of all households will be
momentum to become the UK’s next
renting by 2021 – more than five million
big success story and, consequently, is
households in total. In turn, this means
attracting serious interest from investors.
that investing in UK property is an
Young professionals are moving to the
attractive proposition.
city in droves thanks to the outstanding lifestyle and job opportunities on offer.
The majority of new renters in the future
With house prices having grown almost
will fall into the 25-34 age bracket
25% in the last five years the competition
thanks to the impossibility of getting
for the best rental homes is growing
on the property ladder for many. Wages
fiercer each year.
KEY HIGHLIGHTS £23,462 is the average yearly income for landlords (JLL, 2018)
House price growth of 20.5% is anticipated in Yorkshire by 2023 (Savills Residential Property Forecast, 2018)
inflation, whilst house prices continue to
And it is not just young people that
The average UK rent outside London is now more than £800 for the first time
rise, and that leaves renting as the best
have faith in the future of Sheffield;
(Rightmove, Q4 2018)
option available for a huge number of
big businesses do too. Alongside the
young people. Without a housebuilding
investment of more than £1bn as part of
programme of unprecedented scale – an
regional devolution and the development
event of which there is no indication – it
of a new £480m retail centre, Sheffield is
is hard to see the situation changing,
home to new world class manufacturing
making this a good time for buy-to-let
centres belonging to Boeing and McLaren
investors.
Automotive, two of the biggest names at
are largely stagnant when adjusted for
the forefront of global industry. Of course, not all investments are equal. Whereas the Central London market
The conditions in Sheffield are perfect for
led the way for many years it is now
buy-to-let investors looking to get ahead
commonly accepted that the Northern
of the game and invest in the UK’s next
regional cities are where investors should
big up-and-coming market before the
look for the greatest profits. At the same
crowds arrive. Five years ago Manchester
time as the market in the capital has
was being talked of in similar terms to
been in a well-publicised decline, cities
Sheffield now – this is a city you do not
like Sheffield are on an upward trajectory.
want to miss out on.
House prices in Sheffield have grown by almost 20% in the last 5 years (Zoopla, Q2 2019)
Boeing’s facility in Sheffield is its first manufacturing site in Europe £100m - The anticipated economic benifit of the new McLaren Automotive facility Kelham Island has been voted the best neighbourhood in the UK by the Academy of Urbanism
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Sheffield: A buy-to-let hotspot Sheffield is known around the world for its industrial prowess and a highly skilled workforce which is at the centre of a booming business sector. Residents of the city enjoy an enviable lifestyle and impressive job opportunities in the strategic heart of the country in South Yorkshire. The Sheffield City Region is at the centre
The Sheffield City Region Strategic
being applied to the city as a whole and
of the country, and Sheffield itself is one
Economic Plan 2015-2025 set expansive
puts Sheffield on the map alongside much
of the UK’s core cities which drive the
economic goals for the region, including
larger and more famous cities around the
national economy. With more than two
generating an additional £3bn GVA, adding
world.
million people within an hour’s commute
70,000 jobs and creating a further 6,000
of the city thanks to its location as a
businesses. Given that the region saw the
House prices have risen by almost 20%
hub of national road and rail networks,
creation of 37,000 jobs between 2014 and
over the last five years according to leading
business and industry knows that it
2017 it is fair to say that those targets are
online property portal Zoopla, and this
has access to a large, skilled workforce.
likely to be smashed.
growth is expected to continue into the
With a significant presence in sectors as diverse as digital, finance, logistics, manufacturing, engineering and lowcarbon industries, Sheffield has a modern economy which puts it on the map and
future. Research from the Hometrack UK The city’s strategy of concentrating on
Cities House Price Index in Q4 2018 shows
specific sectors continues to pay dividends
that the pace of annual house price growth
as specialisation attracts world class
in Sheffield is actually accelerating year-
firms such as Boeing, HSBC and McLaren
on-year.
drives investment from around the world.
Automotive. Indeed, this is a strategy which is tried and tested in Sheffield.
Sheffield has so many unique attributes
Sheffield also has a plentiful supply
During the decline of manufacturing in
that it is becoming something quite
of highly trained graduates. Young
Britain over the 20th century, many cities
special and the UK’s next big success story,
people from all over the world head to
fell victim to the trend by trying to be
following in the footsteps of Manchester.
the University of Sheffield and Sheffield
generalists. Sheffield went the other way,
Hallam University every September
focussing on quality over quantity, and
for a world class education, and the
therefore retains a globally significant steel
two institutions produce thousands of
industry to this day. That strategy is now
graduates each year. It is estimated that as many as 25% of annual graduates choose to remain in Sheffield following university. With the continuing growth of high quality industries and a powerhouse higher education sector, it is no surprise that the population of Sheffield is predicted to grow almost 15% by 2035. The combination of many graduates remaining in the city each year, on top of the large number of young people migrating to the city from elsewhere in the UK annually, has created a city which feels alive and exciting.
The Sheffield City Region’s economy is anticipated to grow £3bn by 2025 Sheffield City Region Stategic Economic Plan 2015-2025
Sheffield
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Sheffield Property Guide 2019
HS2: UK rail expansion
LANCASTER
2017 saw work begin on HS2 – a brand new high speed rail link which runs between London at one end and the cities of Manchester and Leeds at the other. Sheffield is set to be a major terminus of this route and will benefit enormously from this massive infrastructure investment. The route into Sheffield has changed
business centres more convenient it is
several times since the original HS2
predicted that Sheffield itself will benefit
proposals in 2010. A station at the large
and continue to bloom.
Meadowhall shopping centre south of the city was proposed, and the Labour
Infrastructure investment like this will
Party suggested that the old Great Central
boost the local economy by fostering
Main Line be utilised – an idea which has
business links with other major cities such
partially been accepted. The HS2 line will
as Manchester, Birmingham and London.
now run into the city centre and is possibly
In turn, this will make Sheffield a more
going to occupy Sheffield Victoria Station
attractive place for people to live and work
which was last used for the Great Central
which will have knock on benefits for
Main Line and has been derelict for years.
the housing market. Sheffield is already attracting serious investment and is
HS2 is projected to reduce journey times
projected to enjoy significant population
to London to 1hr 10mins from the current
and economic growth over the coming
time of 2hr 9mins. Journeys to Leeds
years, and HS2 will only serve to reinforce
and Birmingham will also be reduced
these trends and keep the momentum
significantly. By making trips to big
going.
Journey times to London CURRENT JOURNEY TIME TO LONDON JOURNEY TIME WHEN HS2 IS COMPLETED
SHEFFIELD LIVERPOOL MANCHESTER PICCADILLY 0
20
40
60
80
TIME (MINUTES) DEPARTMENT FOR TRANSPORT (NOVEMBER 2016)
100
120
PRESTON WIGAN
MANCHESTER PICCADILLY
WARRINGTON MANCHESTER AIRPORT
LIVERPOOL
RUNCORN
CREWE
STAFFORD
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YORK LEEDS
YORK LEEDS
SHEFFIELD
CHESTERFIELD
Sheffield Peace Gardens
SHEFFIELD
CHESTERFIELD EAST MIDLANDS HUB
EAST MIDLANDS HUB
Kelham Island
BIRMINGHAM INTERCHANGE
BIRMINGHAM INTERCHANGE BIRMINGHAM CURZON STREET
Sheffield Crucible
CROSSRAIL INTERCHANGE LONDON EUSTON
CROSSRAIL INTERCHANGE LONDON EUSTON
HS2 network, UK
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Sheffield Property Guide 2019
A modern investment destination The Sheffield City Region has absolutely everything needed to attract serious business investment now and in the future. A location in the centre of the country combined with a business friendly economic climate, room to expand, a high number of graduates, a highly-skilled workforce and a history of innovations which changed the world make this city perfect. Most importantly, the region has momentum. Over the past year a collection of notable investments have been completed which shows the potential of the city and why this is the perfect time to invest in Sheffield. Sheffield city centre
Here are some of our favourites:
Boeing International aerospace giant Boeing
for this ground-breaking expansion.
director of Boeing UK and Ireland. “Our
opened its first manufacturing site in
The city has a global reputation for
decision to start manufacturing high-
Europe in 2018, choosing Sheffield as the
manufacturing excellence, specifically
value components in the UK is a step-
location for this £40m facility. The 6,200
in the realm of precision manufacturing.
change in our engagement and a further
sqm factory employs more than 50 staff,
The skilled workforce is large and
example of Boeing’s commitment to
including two dozen local apprentices,
highly specialised, and the city has the
grow here, supporting the UK’s long-term
who will make approximately 100
infrastructure for global exports already
prosperity.”
separate actuator parts for the company’s
in place.
737 and 767 models from locally sourced materials.
“We are proud to expand our relationship with the UK still further with Boeing
It is not hard to see why Boeing found
Sheffield,” said Sir Michael Arthur,
Sheffield to be the most attractive option
president of Boeing Europe and managing
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McLaren Automotive McLaren Automotive opened a £50m
estimated that the centre will provide at
composite technology centre at the
least £100m to the local economy by 2028.
University of Sheffield’s Advanced Manufacturing Research Centre in Q4 2018
This development fits in perfectly with the
which will produce carbon fibre chassis for
Sheffield City Region’s promotion of itself
the company’s range of cars.
as the UK’s number one centre for skilled manufacturers and graduates, as well as
The centre is set to be a world leader
pushing the North of England as a world
in composites technology and will put
class business destination. There is already
the Sheffield City Region at the forefront
talk from key figures in the region and at
of global automotive technology. More
McLaren of how to expand the company’s
than 200 jobs are being created and it is
presence with more facilities in the future. Sheffield Cathedral
Heart of the City II Previously known as the Sheffield Retail
application for the almost £500m
Quarter, Heart of the City II is a major
development was successfully lodged in
redevelopment of the city centre which
Q4 2018 – and it is expected to be approved
will transform Sheffield’s retail and
in short order. This second phase will
commercial prospects. The first phase of
create new shops, office space, public
the development is on track to complete in
space and a number of residential units
2019 and will provide 60,000 sqft of retail
to provide city centre living. Following
space, brand new public spaces and a new
approval the development is scheduled to
building for HSBC which is acting as the
complete in 2024 and will change the face
anchor tenant for the scheme.
of the city centre.
The second phase of the development is considerably larger - a planning The Cholera Monument
New Era Square New Era Square is a major development
centre, restaurants and further retail
in the regeneration of Sheffield city centre
units. However, the most interesting part
and is a key part of the growing business
of phase two is the China-UK business
and investment relationship between
incubator which will occupy an office
Sheffield and China. Developed by local
at the heart of the scheme and promote
businessman Jerry Cheung, phase one
significant business. This will work in both
of New Era Square has already been
directions, becoming a gateway for Chinese
completed and opens up retail and office
businesses looking to invest in Sheffield
space as well as student accommodation
on the one hand and to act as a local hub
and outstanding public realm space.
for regional businesses to work with the Chinese market on the other.
Phase two is underway and will provide more student accommodation, a medical
Winter Gardens
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Sheffield Property Guide 2019
At the heart of the country: The Sheffield City Region Sheffield is at the heart of its City Region which is itself at the centre of the country. Home to approximately 70,000 businesses and an economy worth £31bn, this is one of the UK’s premier regions for business with more companies and people moving to the area every year.
Sheffield The biggest city in the region and one of the largest in England, Sheffield is a true national powerhouse economy. The city is a hub of world-class businesses
With a proud history at the forefront of industry in the UK,
in sectors as diverse as digital, creative,
the Sheffield City Region has a reputation for innovation
manufacturing and precision engineering.
and reinvention that serves it well. It is also a centre of
Plans to create 70,000 new jobs and 6,000
culture and higher education which attracts people from all
businesses in the region by 2025 are well
over the world.
underway and have Sheffield at their heart.
The Sheffield City Region has everything from booming cities to areas of outstanding natural beauty which draw
In addition, it is home to two world class
millions of people each year. This diversity gives the region
universities, the University of Sheffield
its strength and, along with its ideal location, ensures that
and Sheffield Hallam, and world-famous
people and businesses will continue to be attracted to it in
cultural sites like the Crucible which help
the future.
to attract more than 17 million tourists who spend more than £1.2bn in the city
Some highlights of the region include:
every year.
Peak District The oldest of Britain’s national parks, the Peak District covers more than 550 square miles and welcomes 13.25 million visitors from across the world every year. Located only a short distance from Sheffield, the Peak District is a unique attribute which helps the city stand out
Peak Disrict
Derbyshire Dales
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Advanced Manufacturing Park
Doncaster
Located in between Sheffield and Rotherham, the Advanced
Doncaster is an ambitious town which is home to
Manufacturing Park is a concentration of talent and
regional headquarters for many large companies
expertise which has drawn international giants like Boeing
including Amazon, Ikea and BT. With a reputation
and McLaren Automotive to the Sheffield City Region.
for being business-friendly, Doncaster is one of the main regional drivers and is seeing record levels of inward investment.
Doncaster
M1
Doncaster Sheffield Airport
Barnsley
Doncaster Sheffield Airport, and the surrounding Aero Centre Yorkshire site, provides the region with thousands of
Rotherham
highly skilled jobs as well as connecting it to the rest of the world. The airport
M11
currently serves more than 1.25 million
Bassetlaw
Sheffield
passengers a year and flies to more than 50 destinations. In addition to that,
Retford
Doncaster Sheffield is connected to the
A1
East Coast Mainline railway and plans Worksop
have been lodged to double the size of the terminal and create thousands more jobs,
Chesterfield
making it the UK’s fastest-growing airport outside London.
Bolsover
M1 North East Derbyshire
Rotherham Located close to Sheffield, Rotherham is another booming economic powerhouse with plans in motion to create 10,000 new jobs and almost 1,000 new businesses by 2025, boosting the economic corridor running through the heart of the City Region.
Map from Sheffield City Region Strategic Economic Plan 2015-2025
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Sheffield 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 Sheffield
Great Central Sheffield Great Central is the first development in
adjacent to Kelham Island, a popular area
Sheffield from Qualis Developments and
recently voted the best neighbourhood in
Knight Knox and is set to raise the bar for
the UK.
rental quality in the city. These large, bright apartments are an ideal Occupying a site overlooking Sheffield,
home for young professionals and families
Great Central will offer fantastic views as
who live and work in Sheffield, one of the
well as being only a short journey from the
UK’s most exciting and forward-thinking
sights and sounds of the city centre and all
cities.
local amenities. In addition, Great Central is
Invest in the UK’s next big buy-to-let market from £115,000 Please visit www.knightknox.com or call +44 (0)161 772 1370 for further information.
Figures correct at time of print (October 2019)
11
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
The Interchange MediaCityUK
X1 Chatham Waters Chatham
Bridgewater Wharf Manchester
Great Central Sheffield
Cannon Street Preston
X1 Manchester Waters Manchester
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
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The content contained within is correct at the time of publishing (March 2020). 03-2020 V2