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Topics: Greater London

Spotlight on Greater London - Q3 2016

The effects of the June referendum had an immediate impact upon London commercial and residential values. However the residential market was already showing signs of cooling in 2017 and 2018, with valuations at the top end of the market subdued.

Aside from the Private Rented Sector (PRS), the residential market new starts have fallen on the prospect of lower values. The driving sector of the last three year boom has now passed its peak.

In retail the structural shift of large format stores to sheds and e-commerce looks to be hastening across the region. However, specialist retailers in prime locations are maintaining demand and international retailers are continuing to set up shop in London.

There has been a slowdown of new orders for construction working through to procurement, so whilst contractors have full order books today, it may be a different picture in 12 months’ time.

The leisure and hotel sector is holding steady as visitor numbers hold up with tourists benefiting from the subdued Pound to boost their spending power.

Infrastructure, energy and waste investment remains high with a committed and strong project pipeline to maintain the region’s growing populations.