Oxygen Property Magazine by Oxygen Property Management

OXYGEN Property Magazine Summer 2016 Issue 2

Brexit Turbulence

Where do you stand as a

LANDLORD TENANT SELLER Life BUYER In the city

A comparison of

London, New York, Sydney & Paris

Are we all suffering from

Postcode

Anxiety?

Contents 1.

The Agenda 4...Editors Letter

Welcome to our second edition of Oxygen Property Magazine! A little later than anticipated but it’s here and we have some interesting insights for you this season.

5...Contributors

Meet the team who contributed to this issue and learn a little about what they do to make our services shine for our clients.

Features 6...Are we all suffering from

Postcode

Anxiety

Do you measure the reputation of your neighbourhood against your status quo?

We explore the significance of postcode reputation when choosing a place to live.

10...A comparison of

Life

In the city London, New York, Sydney & Paris

A comparison of the world’s most and least expensive cities. How long would you have to work to earn a Big Mac in the big apple?

Landlords, tenants, buyers, sellers 14...

Brexit

Turbulence

What to expect as a Landlord, Tenant, Seller or Buyer

With so much uncertainty in the air, we attempt to put your mind at rest and share our thoughts and research on the effects of Brexit on the property market.

16...

Summer

at the docks Royal Victoria...

We look at the upcoming events in Royal Victoria and share exclusive offers for our clients.

Properties 17...

Lettings & Sales

View some of our properties available to let and for sale.

. . . r e tt e L s or it Ed

A little later than anticipated but it’s here, our second issue of Oxygen Property Magazine has arrived. Summer is finally here along with its unpredictable weather, but with it came more unpredictability than anyone could have imagined. The past couple of months have been interesting socially, economically as well as politically, even for those who try to avoid it, there really is no hiding. Brexit is the hot topic everywhere! As with any political change the mood has changed as feelings of uncertainty loom in the air. So in this issue we wanted to share our views of how todays decisions impact tomorrows property market. We have researched and written our conclusion of what the future may hold for you, whether you are a landlord, tenant, buyer or seller (page 14). For those of you who have had enough of the subject of “Brexit” consider instead the subject of Postcode Anxiety and how far your address is a reflection of who you are (page 6). We take a look at how long you would have to work in Sydney to earn a Big Mac Meal as we compare the worlds most expensive cities, (it may come as a surprise to some, it isn’t London (Page 10)) We hope you enjoy the read!

Klaudia Bacinska Klaudia Bacinska Brand Manager / Editor

Join the conversation... Follow us on social media!

Agenda

Contributors It’s been a busy couple of months for our team at OPM. From property maintenance through to sales enquiries, we’ve had questions fired at us left right and centre about what to expect from the market in the next few months. So for our second issue we’ve asked two of our busiest team members to sum up the answers and we pulled together a publication which will put some minds at rest and hopefully put a lighter note in the air. For regular updates, follow us on social media (Facebook, Twitter and LinkedIn) or join our mailing list through our website or by e-mailing your details to lettings@oxygen.co.uk.

Donovan O’Connor

Operations Manager With over 16 years of experience within Property & Maintenance, Donovan manages our team with confidence and has comprehensive knowledge of how to effectively deliver services with minimum disruption to our clients. As operations manager Donovan has his fingers dipped in all of our departments, maintenance, lettings, sales and management ranging from commercial through to residential properties. Over the past few months Donovan has been focusing on the Maintenance side of the business, where OPM has seen a rapid rise of popularity. Our in house maintenance team offers a free key-holding service with a 24 hour, 365 days a year response line. Our registered landlords can rest assured that the their property/properties are in safe hands. View our Maintenance Brochure here.

Octavia Rolle

Lettings negotiator As a negotiator, Octavia works on the front line of all Sales and Lettings deals. Whenever focusing on a deal, Octavia often refers back to the prices, be it rental or sales, of properties within Royal Victoria. The ongoing regeneration of East London is having a positive impact on both the lifestyle offered to residents as well as the substantial rise in prices for those looking to buy. Keeping a close eye on the market at all times, Octavia is confident that with the introduction of Cross Rail and other developments such as the Asian Business Port, London Docklands are set for a positive future, regardless of other ongoing market trends. Whilst uncertainty and legislative changes are bound to have an impact, as an area undergoing a catalyst, Royal Victoria offers secure investments in the long run, alongside a tranquil lifestyle just minutes from the city. If you’d like advice or you have questions about the market, get in touch with Octavia on 02070 558 000.

To Let

For Sale

Issue 3-September

Autumn.. 2016

Our third issue will be released in the Autumn. With so many decisions still to be made, we promise to keep a close eye on the property market and include insights of legislative decisions and their impact on the market.

Feature Are we all suffering from

Postcode

Anxiety For most of us today our choice of a home is often an extension of our personality. The property type, colour of the walls, furniture selection; the very details of it are likely to reflect who we are as individuals. That’s why the search process is never an easy one whether you are looking to rent or buy. In the cut throat London property market, where a hefty whack of money is added into the mix, it can be hard to disentangle the personality of a property from status-related anxieties as most of us have budget restraints which often dominate the choices we make.

So what is postcode anxiety you ask? Are some of us suffering from this silent “perception epidemic”? According to psychologist Dr. Linda Papadopoulos most of us associate postcodes with status-quo. This is why, when asked where we live, some of us hesitate if the area has a “run down” reputation and instead we claim an area close by with a better reputation, especially if we are trying to impress the person standing in front of us. The significance of area

perceptions silently exists in most of our minds and by way of human nature we make assumptions rooted in such stereotypical views.

Where do perceptions of postcodes come from?

A recent survey commissioned by YouGov has revealed common opinions about the South, North, East and West sides of London. 1294 London residents were asked to describe specific areas of London using 4 words they felt were representative of the area in question. The survey revealed a shift in our perceptions. East London has long upheld a negative reputation, but this seems to be changing as an equal amount of participants felt that it is “Dirty”, balanced with an equal number which perceived it to be “Up and coming”. West London too identified a new balance of equal numbers stating it is “Pretty”, whilst at the same time it is identified as “Dull”. North of London was identified as “Family friendly” but equally “Rough”, whilst the South of London is perceived as

Feature

“Trendy” yet “Past its Prime”. Of course other terminology was identified although in smaller percentages, as displayed on the next page. What this shows us is that our view of London is changing due to new developments and re-generation schemes. The fact remains that views of our personal status quo, who we are as individuals and where we are likely to be in 10 years are closely linked to our residence, and this occurs in greater proximity than we are aware of. Research reveals that on the side of how we perceive postcodes and correlate them against our social standing, our home address can in actual fact reveal ‘frighteningly accurate’ profiles of who we are as individuals, giving us all a real reason to have “postcode anxiety.”

Your Postcode is your profile...

Specialist firms can produce these profiles using a vast database built up from loyalty cards, census details, credit card spending and loan applications. The database is also fed with crime statistics, house prices, school results, insurance claims and even hospital admissions.

The database has categorized us into 61 “British Tribes” which can show whether we drive a Lada or a Lamborghini, take package holidays to the Med or splash out on exotic breaks, or prefer bingo to a Beethoven concert. In 2007 sociologist Professor Roger Burrows told the Festival of Science that his research using such statistics could nearly perfectly match postcode profiles with the properties and lifestyles he observed. Companies can buy access to the MOSAIC database and similar systems, such as ACORN, to decide where to target the marketing of goods and services. It is claimed that the purpose of such databases is not sinister and purely marketing related. It is increasingly used as a tool by the Government and public bodies to target services to where they are needed. The question is, does such data reflect the perspective view of a postcode, contributing to its stereotyped reputation? Should we consider this as a real threat of a “Postcode Anxiety” epidemic?

London Tube map showing the average rent for a 1 bedroom flat close to each tube station. Published by website Thrillist September 2015.

Feature

O Life

A comparison of

In the city

London, New York, Sydney& Paris

It takes thewide average London worker 12minutes to earndustbin a Meter homes, origami inspired studio flats, Bigapartments Mac meal&...sleeping capsules... We live in a fragile world where the smallest political and economic change can have a huge impact on how much you earn and in turn what you can or cannot afford. So when asked which city is most and least cost effective to live in, we all make the same assumptions. Is it Singapore, London, Sydney?

We’ve taken the time to look into the subject of living costs to put our minds at rest. With all the changes that have happened effecting the property market this year and the uncertainty of what’s still ahead of us, we have lined up some figures to see where we stand as residents of London.

According to the Swiss bank UBS report last year, findings indicate that the average London worker is exposed to pretty healthy living standards when compared to the rest of the world. According to the report, on average it takes just 12 minutes of work to earn a Big Mac Meal, 6 minutes to buy a loaf of bread, and 41 hours to earn enough to buy an iPhone 6. To paint the picture of how well our average equates to, in Nairobi, Kenya, the average worker would need to commit to nearly 3 hours to earn a Big Mac

MOST EXPENSIVE 1. New York 2. Zurich 3. Geneva 4. Oslo 5. London 6. Hong Kong 7. Chicago 8. Copenhagen 9. Sydney 10. Tokyo

Meal, that’s 14.4 times more than the average Londoner.

So how did the other cities rank? Well, the average city worker in Paris needs to work 15 mins to earn a Big Mac Meal, whilst in Sydney and New York, this equates to 11 mins. This tells us that our average wages are closely related to major cities, and this is a good sign. But earning a healthy living wage with enough to buy consumer goods is only one side of the story. So what about the price of renting a property, surely that’s where your wallet takes the biggest hit? As with London, every city has districts which are more and less expensive, so UBS have taken a look at the average. Findings indicate that the average 2 bedroom fully furnished apartment costs a whopping average of £3,190 per month in New York, £1,961 in London, £1,415 in Sydney and £1,153 in Paris. This tells us that despite our well paid average worker, the cost of accommodation is a little pricier than one would hope, making London the 5th most expensive city on the list.

WORLDS LEAST EXPENSIVE CITIES: 1. Kiev 2. Sofia 3. Bucharest 4. Mumbai 5. New Delhi

Back to that iPhone 6 though, if you lived in Kiev, you’d have to work 627 hours in order buy one. New Delhi’s not much better at 360 hours. So where does London stand? That’s down to you. Expensive accommodation and a healthy wage or cheap living and lower wage?

Since 2008, we have seen a significant rise in housing prices within London. Earlier this year, research undertaken by Trust for London shows that a third of Londoners cannot afford to live in London and pay for transport in the capital. So whatâ&#x20AC;&#x2122;s the moral of this story? We can now officially state that London is an expensive city, 5th on the list to be precise. But itâ&#x20AC;&#x2122;s also a place where you can earn that Big Mac in just 12 minutes. An uneven balance of earning and spending, the upcoming changes including the EU referendum, potential government cap on rent prices, will all result in a change of position on the expensive list, as well as the weight of your wallet. How things span out, no one knows for sure.

Feature

Looking for a

PLACE TO RENT?

Don’t miss out on our “No Admin Fees*” offer! We have a range of properties available with competitive rental prices. *Terms & Conditions apply. View them on our website.

To find out more or for comprehensive Property Profiles CALL 02070 558 000 or e-mail lettings@oxygen.co.uk

Octavia Rolle

Lettings Negotiator

Landlord/tenant/vendor/ buyer/Invest

BREXIT TURBULENCE

Where do you stand ? What to expect as a Landlord, Tenant, Vendor , Buyer... On the 23rd June 2016 it was announced that the public vote to leave the European Union has won (Leave 52%, Remain 48%). The UK Prime Minister David Cameron resigned shortly after and today the UK has mixed feelings as to where we stand, and where we should be standing.

One thing is for sure, we are all in the midst of one of the biggest political events in recent years. There is much speculation on how BREXIT will affect the property market not just within the UK, but on a global scale. With the British Pound dropping to its lowest in over 31 years, it’s more than enough to startle anyone with plans to let, rent, buy or sell a property. There is a sense of anticipation in the air as both the Leave and Remain campaigns have made predictions as to what would happen if the UK decided to leave. So how is this really going to affect you and your place within the property market? Here is what we think.

Landlords

The UK’s decision to leave the EU is a major change in our political position not just nationally but on a global scale, and this consequently results in feelings of uncertainty. Looking back at political and economic events which have led to uncertainty within the industry, there are patterns of a stagnated market. Predictions by industry experts indicate that the initial impact on the rental market will be somewhat minimal, yet could have a much more damaging effect long term, especially when considering that one third of the London rental market is occupied by EU migrants.

The impact of Brexit on the rental market is likely to be a minimal in the first 2-3 years. As a landlord you should prepare for the possibility of an initial small standstill in the rental market. Once Article 50 is triggered – in the wake of UK’s negotiations with the EU, should the government allocate a transitional period during which the EU nationals can still freely relocate to the UK, there may be an uplift in migration as those who were planning to move to the UK can still do so freely. The impact on rents in the long run will potentially be a negative one. National Association of Estate Agents (NAEA) and Association of Residential Letting Agents (ARLA) reports suggests that demand will reduce as migration is capped and a potential skills shortage could also reduce our ability to build new homes, lowering both demand and supply. Consequently, there will be an urge to drop rental prices as the property market becomes more competitive.

Tenants

The National Association of Estate Agents (NAEA) and the Association of Residential Letting Agents (Arla) predicted that Brexit would cut levels of immigration and depress future price rises. This assumption means that with less tenants applying for properties, there will naturally be more choice on the market for those looking to rent, and could in turn result in steady price ranges.

Seller

Following the initial market “Shock”, statistical data indicates that sales within the UK have risen by almost 40% following Britain’s vote to Leave the EU and here is why.

In the past few years we have seen London become a global financial centre which has attracted property investors from across the globe including wealthy Middle East Royals, Russian oligarchs and Asian billionaires. As the British Pound dropped following the results of the referendum there has been a surge of overseas buyers who saw this as an opportunity to bag a bargain due to the rapid lowering activity of the British Pound. Related to this surge is the trend of sellers lowering prices prior to and as a result of the referendum- to help boost the appetite of buyers in a time of uncertainty.

However, it should be noted that this sales boom is unlikely to last. Led very much by the overseas buyer, Singapore’s United Overseas Bank, among others, have halted mortgages for London properties as a formal expression of concern. Further data from leading property establishments indicates that many local buyers plan to stay on the side-lines in coming months, with a potential to last the full scope of the Brexit negotiations.

Buyer

UK’s vote to leave the EU has created uncertainty across the UK’s financial markets, and housing and mortgages are no exception. There is much speculation of how the market will flow. Should the Bank of England cut interest rates which governor Mark Carney has indicated as a possibility this summer, mortgage lending could get cheaper, which is great news for the first time buyer. This coupled with a predicted trend in lowering prices is a sunny forecast for the buyer’s market. However, it is also

tor

possible that the uncertainty generated by our political standing will result in fewer properties on the market as some sellers choose to sit on the side-line, making the market more competitive with higher demand than supply.

Buyers/ Sellers:

Graph shows average pricing prior /following EU Referendum in British Sterling and Euro.

So what will happen to property prices? Brexit could potentially put a stop to the ongoing price rise seen in many areas across the UK over the past years. There is however no guarantee that prices will fall. The market in its current position is a global attraction for international buyers as the pound weakens. However international mortgage lenders such as UOB, Singaporeâ&#x20AC;&#x2122;s third biggest lender showcase concern as they suspend London Property loans. There is a chance of less supply and a potential of construction rates slowing down, meaning that property prices will remain relatively steady. So far, statistics indicate that people are continuing to apply for mortgages, and thus there is no immediate threat to the demand side of the market. Any major effects are yet to be felt within the buyersâ&#x20AC;&#x2122; market.

Conclusion

The UKâ&#x20AC;&#x2122;s decision to leave the EU is one which will be marked as a significant part of British History. Although there seems to be little sunshine forecasted for the property market in the short term, the financial standing in the long run could see a bright sky breaking through, particularly for the first time buyers. Your position in the property market as a Landlord, Tenant, Seller, Buyer thereafter will be determined by the political standing the UK reaches following negotiations. As in any event of political uncertainty, once stability is restored this will spread across all industries, property market included.

Landlord/Tenant:

Population projections based on office for National Statistics. Low migration is the likely outcome of Brexit.

Summer At the Docks

Royal Victoria...

As part of our initiative, we are collaborating with local businesses to give our clients more. In this months issue we have arranged special discounts for Oxygen Property Clients. For more details please contact us directly.

20%

On food & beverages for all Oxygen clients. Present this at reception in return for a partnership card. Terms & Conditions apply- ask in-store for full details. Offer ends 30th September 2016.

Complimentary glass of prosecco

Free Croissant

When you buy a large coffee at the Royal Victoria caffe fratelli from 7am-12 noon. Terms & Conditions apply- ask in-store for full details. Offer ends 30th September 2016.

10% Off

Any coffee at fratelli (Royal Victoria). Terms & Conditions apply- ask in-store for full details. Offer ends 30th September 2016.

Book your Afternoon Tea at Crowne Plaza London Docklands in July and August 2016 and enjoy a complementary glass of prosecco. Terms & Conditions apply- ask in-store for full details. Offer valid until 31st August, 1 glass per person per booking.

10%

Off

For Dry Cleaning Services on your first visit. Call 0207 511 7979 for details.

Terms & Conditions apply- ask in-store or call the number above to find out more. Offer ends 30th September 2016.

oxygen facial

Treat yourself to an Express Oxygen Facial for just £25 when you present this voucher on your first visit. Terms & Conditions apply- ask instore for full details. Offer ends 30th September 2016.

Hair Special

Cut & Blow Dry (All Lengths) just £25. Gents Cut & Finish just £15- Exclusive to Oxygen clients.Book by calling 020 7476 3272. Terms & Conditions apply- ask instore or call the number above to find out more. Offer ends 30th September 2016.

O OXYGEN

Properties To Let...

Property Management 2

to let

The Oxygen ÂŁ1,750 PCM

Royal Docks

Oxygen is pleased to offer this modern 2 bed 2 bath apartment comprising of an open plan kitchen/living room, private balcony and concierge services. The apartment offers underfloor heating, triple glazing as well as an integrated kitchen. A well presented property in a great location. A Newham private property license has been applied for.

Tel: 0207 055 8000 | Web: www.oxygen.co.uk | E-mail: lettings@oxygen.co.uk

Oceanis Apartments £1,475 PCM

Royal Docks

A fully furnished well presented 2 bedroom apartment offers an open plan modern kitchen, large bathroom and secure underground parking. With great transport links, the property is ideal for anyone working in London. A private Property Licence has been applied for this and Agent fees apply.

Coral Apartments £1,500 PCM

Royal Docks

This modern property is well furnished and features a spacious lounge and modern open plan kitchen with all the necessary machinery such as washer/dryer, dish washer, oven and an extractor fan. The property is on the 10th floor and offers stunning views from it’s private balcony. Viewings are highly recommended. A Newham Property licence has been Applied for this Property and Agent Fees Apply.

O The Oxygen ÂŁ1,350 PCM

Royal Docks

Oxygen Property Management is pleased to present this 1 bedroom flat located in the sought after Oxygen Development. The apartment is located on the 4th floor and faces the courtyard side of the building. Equipped with a fully fitted kitchen including washer/ dryer, dishwasher and under floor heating throughout. The apartment is offered furnished, includes parking and has a concierge service. (Please note the furniture seen in images is for visual representation purposes and may not be the same)

A Newham Property Licence has been applied for.

The Oxygen ÂŁ1,350 PCM

Royal Docks

This roomy one bedroom apartment is ideal for a flexible living style. Set over 592 sq. ft with the use of a private terrace accessible from both the bedroom and living area. Fully furnished throughout, this apartment consists of an impressive reception and open plan kitchen space, good sized double bedroom and high spec bathroom. There is also a daily concierge facility and secure entry phone/video system. A professional property licence for Newham Council has been applied for this property.

Oxygen Apartments ÂŁ1,400 PCM

Royal Docks

A well presented one bedroom apartment offers contemporary living at a competitive price, ideal for the London City worker. The property has a fully fitted kitchen including washer/dryer, dishwasher, integrated oven, balcony with partial views of the docks, plenty of storage space throughout, secure underground parking and concierge services. Viewings are highly recommended. A private Property Licence has been applied for this and Agent fees apply.

The Oxygen ÂŁ1,700 PCM

Royal Docks

Oxygen Property Management is pleased to offer to rent this two bedroom one bathroom apartment. This apartment is located on the 12th floor and has part views of the docks. The apartment includes a secure parking space located underground of the Oxygen building. Along with the private balcony which can be accessed from both the bedrooms and the lounge, the apartment is furnished to a good standard and features a fully fitted open plan kitchen. A private property licence from Newham Council has been applied for this property.

O The Oxygen ÂŁ1,750 PCM

Royal Docks

Oxygen is pleased to offer this modern 2 bed 2 bath apartment comprising of an open plan kitchen/living room, private balcony and secure underground parking as well as concierge services. A well presented property in a great condition, ideal for city workers. A Newham private property license has been applied for.

The Oxygen ÂŁ1,380 PCM

Royal Docks

A spacious 1 bedroom flat located in the sought after Oxygen Development. The flat is located on the 8th floor and has partial views of the river. Equipped with a fully fitted kitchen including a washer/dryer, dishwasher and underfloor heating throughout. The apartment is offered furnished and has a concierge service. (Please note the furniture seen in images is for visual representation purposes and may not be the same)

A Newham Property Licence has been applied for.

St Anslem ÂŁ12,783.333 PCM

Mayfair

A luxurious 5 bedroom dwelling located in the heart of Mayfair offering a sauna room, steam room, cloak room, gymnasium, swimming pool, utility room, study room, reception, large spacious patio, two garages, spacious lounge and entertainment space, generous kitchen with ample storage space, five bedrooms and four bathrooms. Ideal family home comprising of 4,500 sq ft of stylish living space.

A Westminster private property license has been applied for.

Frognal ÂŁ13,000 PCM

Hampstead

5 Bedroom semi-detached house located in Hampstead. This spacious property is just 3 minutes away from Hampstead High Street, comprising of a master suite, 4 double bedrooms, 3 bathrooms, cloak room, reception room, eat in kitchen, basement family room, garden and garage with off street parking. Stylishly presented this luxurious property is a gem sitting in the market. (Please note the property is unfurnished)

OXYGEN

Properties For Sale...

Property Management 1

For Sale

Pandora Court ÂŁ380,000

Royal Docks

A stylish new build 2 bedroom apartment located in Pandora Court in the East City Point development. The property offers a high quality fitted kitchen, high spec bathroom, reception room incorporating the kitchen and a balcony. The apartment offers a quality finish with fine details.

Tel: 0207 055 8000 | Web: www.oxygen.co.uk | E-mail: lettings@oxygen.co.uk

Oxygen Apartments ÂŁ550,000

Royal Docks

Located in a major investment hot spot is this stylish 2 bedroom 2 bathroom tenth floor apartment. The property benefits from open plan living with a balcony, 2 good sized bedrooms with built-in storage and secure underground parking. The modern kitchen is finished to a high standard with integrated appliances. There is underfloor heating throughout.

Oxygen Apartments ÂŁ495,000

Royal Docks

Oxygen Property Management is pleased to offer this two bedroom one bathroom modern apartment. The apartment boasts secure parking space located underground of the Oxygen building as well as concierge services. Along with a private balcony, the apartment is decorated to a good standard and features a fully fitted open plan kitchen. This property will not be on the market for long, viewings are highly recommended.

Oxygen Property Management Ltd (OPM) is an award winning estate agency offering sales, lettings and comprehensive management services for properties across East and Central London. We manage and maintain an impressive portfolio of residential and commercial properties using sophisticated systems which help us deliver outstanding services to our clients. Thanks to the long standing relationships we have developed over the years with our Blue Chip Clients, today we are an established point of call for all commercial and residential needs. Our goal is to syndicate traditional values and services with contemporary advances and sophisticated marketing tools to provide each one of our clients with a unique service, tailored to meet individual needs and aspirations. Our dedicated team offer services in:

- Sales (ranging from city view apartments to luxury family homes) - Lettings (across central and greater London) - Management (average 300 contracts) - Maintenance (24 hour service)

This publication has been created with the intent of providing our clients with an insight into the industry. If you would like to find out more, please do not hesitate to contact us. Oxygen Property Management Unit A The Oxygen 18 Western Gateway London E16 1BL Tel: 0207 055 8000 E-mail: lettings@oxygen.co.uk Web: www.oxygen.co.uk