Leeds Property Guide 2019

LEEDS PROPERTY GUIDE

2019 Celebrating 15 years in business

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Leeds Property Guide 2019

Why invest in buy-to-let?

There has never been a better time to invest in buy-to-let in the UK. The number of people renting in the UK is at a modern day high, with an upward trend emerging of young people choosing to rent as an alternative to buying.

Dubbed ‘generation rent’, millennials today

the UK, with average asking rents outside

are propping up the burgeoning Private

London rising to over £800 per month for

Rented Sector (PRS) so much so that it

the first time in Q3 2018 – good news for

is predicted that almost a quarter of all

landlords looking for strong rental returns.

£70bn The build-to-rent sector is anticipated to be worth £70bn by 2022 Knight Frank, August 2017

households will rent privately by 2025.

As well as rising tenant demand fuelling This is no surprise when you take into

rent increases, national property prices

account that the percentage of 25-to-

are performing well, with the November

34-year-olds who are privately renting

2018 House Price Index from Rightmove

a property more than doubled between

showing strong annual growth in all areas

2003-04 and 2014-15. Currently worth more

beyond the South East and Greater London.

than £25bn, the build-to-rent sector is expected to be worth more than £70bn by

With a clear North/South divide in the

2022 according to industry experts.

housing market buy-to-let investors are looking toward the UK’s booming Northern

The number of people entering the PRS is

£800 Average asking rents outside London hit over £800 per month for the first time in Q3 2018

cities for investment.

pushing up prices across most regions in

Rightmove, November 2018

Leeds House Price Forecast % change pa

19.92%

Growth over 5 years

4%

4% 2018

Source: JLL, 2018

2019

2020

2021

2022

Doubled The percentage of 25-to-34-year-olds who are privately renting a property more than doubled between 2003-04 and 2014-15 The Guardian, 2017

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Why Leeds?

Located in the West Riding of Yorkshire, Leeds is one of the largest and most centrally located cities in the UK. It is a thriving urban hub, popular with both students and working professionals.

Leeds is one of the UK’s fastest growing

population of Leeds is expected to grow by

cities and has a regional economy worth

approximately 9% from the last recorded

£66.5bn, a combined population of 3

census, to reach a predicted 819,000 by

million and a workforce of 1.37 million.

2024.

LEEDS

Home to over 119,000 companies which contribute 5% of England’s total economic

Not only a centre for business, the

output, Leeds is a global economic

Leeds City Region is home to the highest

powerhouse, with the region’s economy

concentration of higher education

having grown by 40% over the last decade.

institutes outside of the capital, with nine universities that produce 38,900 graduates

Particularly famed for being a financial

a year – a significant contribution to the

and business hub, Leeds now has the

future of the region.

In addition, Leeds is benefiting from government and inward investment that

highest ratio of private to public sector jobs of all major cities outside London. Over the

Aside from education and employment,

next decade, the economy is forecast to

tenant footfall in the Leeds city region

grow by 21% with financial and business

is driven up by its celebrated cultural

services set to generate more than half of

scene which is thriving. With a myriad of

GVA growth in that period.

excellent food and drink establishments, as well as a great music scene, there

In line with a growing business

is much to bring students and young

sector and excellent job prospects, the

professionals alike to the city.

looks to improve transport infrastructure.

Positioned in the centre of the UK, the city offers exceptional access to national road, rail and air networks, with London just two hours away by train. With even more infrastructure investment on the horizon, for example the upcoming HS2 high speed rail line, Leeds will be better connected than ever before.

Leeds Rental Growth Forecast

It is no surprise that analysis from industry experts puts Leeds as the best place to be

% change pa

building new homes in terms of value, house price growth, planning success and

JLL predicted in 2018 that rents will grow by 18.8% by 2022

demand.

The research highlights that new build homes in Leeds are worth 41% more than properties currently existing in the city, a 13% increase year on year. This, coupled with the local government encouraging the construction of new homes, makes Leeds the perfect place to invest in right now.

2018 Source: JLL, 2018

2022

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Leeds Property Guide 2019

A Business Hotspot In recent years, Leeds has demonstrated its credibility as an economic and employment hub, with job opportunities rising and a host of national corporations moving to the region.

The largest centre for financial and

Additionally, Leeds is home to a tech sector

business services outside of London, Leeds

worth £1bn resulting in it being hailed as

is home to many large businesses that see

the “digital capital of the North”. According

the benefit of being based in the centrally

to Invest Leeds City Region the region also

located city. Financial and business

boasts the highest amount of scale-up

services account for 38% of total output in

digital companies outside the South East

the city.

and outperforming Bristol and Manchester for employment growth in digital and creative industries.

Brewery Wharf

“Leeds City Region is an established powerhouse with a £66.5bn economy.

Our digital technologies sector combines creative media, data analytics, cyber security, FinTech, telecoms, health and education technologies and is already transforming global businesses. Our region offers an influential ecosystem with a dynamic tech scene and unlimited opportunities for business growth and investment.”

Invest Leeds City Region, 2018

Granary Wharf

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Investor Benefits Leeds is a vital part of the national economy and is on the path to serious growth over the coming years. Leeds City Council estimates that the city’s economy will grow 21% in the next decade and another 40,000 people will be added to the population by 2024.

819,000 Estimated population of Leeds by 2024 Leeds Gov, 2017

With that in mind, it is easy to see why JLL anticipates that house prices will grow 19.9% and rents will grow 18.8% by 2022, placing Leeds second only to Manchester in terms of house price growth expectations.

Make no mistake; Leeds is a city on the up.

As well as being the recipient of a £1bn growth deal – the largest growth deal for any city region in the UK – Leeds is also at the heart of a major transportation upgrade centred around the new HS2 high speed rail line which will slash journey times to the capital.

Leeds is second only to Manchester in terms of house price growth expectations JLL, 2018

26% House prices in Leeds have risen by over 26% in the last five years

This is the perfect time to invest in Leeds

Zoopla, Q4 2018

to take advantage of the current strength of the market and the massive future potential.

38,900 Annually the Leeds city region produces 38,900 graduates from nine universities Leeds City Centre

Invest Leeds City Region, 2018

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Leeds 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

With departments which specialise in land

property lifecycle allows us to design our

acquisition, design, marketing, financing,

developments with the occupier in mind

lettings, property management and sales,

from the very beginning and ensures that

we are one of the few companies which is

we have a real stake in making every

involved at all stages of development.

“They know how to make you feel special” Mr V. Farkas Knight Knox Investor

home perfect. Knight Knox is a unique property consultancy and our outstanding portfolio is second to none.

Total number of UK projects launched As featured in:

Figures correct at time of print (Dec 2018)

60+

£1bn+

Number of completed and occupied developments

Total value of all UK projects launched

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Development Portfolio

THE INTERCHANGE

X1 CHATHAM WATERS

X1 MANCHESTER WATERS

GREATER MANCHESTER

KENT

MANCHESTER

PALATINE GARDENS

GREAT CENTRAL

WALLGATE APARTMENTS

SHEFFIELD

SHEFFIELD

GREATER MANCHESTER

THE TOWER AT X1 THE QUARTER

X1 THE LANDMARK

X1 MEDIA CITY

LIVERPOOL

GREATER MANCHESTER

SALFORD QUAYS

BRIDGEWATER WHARF

X1 THE CAMPUS

ADELPHI WHARF

MANCHESTER

GREATER MANCHESTER

GREATER 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

The content contained within is correct at the time of publishing (March 2020).