New research identifies that house prices in West Drayton and Ealing Broadway will grow the most significantly from the delivery of Crossrail.
The study, carried out by Jones Lang Lasalle, assessed existing residential property, together with the new development opportunities around Crossrail stations, and the medium and long-term potential impact that the line will have on every station location.
JLL devised a scoring system which rates each Crossrail station on a number of criteria. The overall Crossrail impact score, which sees Whitechapel score the most highly, takes into account the regeneration and residential development taking place and which is likely to happen, as well as factors including the potential to develop and price and rental growth forecasts.
In terms of house price growth winners, Whitechapel is expected to outperform with prices rising by as much as 54% by 2020, followed by Woolwich rising by 52% and West Drayton and Ealing Broadway by 50%. The maximum Crossrail impact on house prices will be at Whitechapel where price growth will exceed the Greater London average by 19%. On average, Crossrail stations will see prices rise by 8% more than Greater London over the next 6 years.
The projected maximum impact on rental growth is 15% above the Greater London average and 7% as an average for all locations on the line.
Areas that are worth investigating if you’re a property investor are Woolwich, Iver, Langley, Slough and West Drayton. Whilst these areas may not be immediately attractive to many, JLL believes they are “promising locations that should not be overlooked”.
Looking at the longer term, more opportunistic areas, JLL identifies Ilford, Forest Gate, Abbey Wood and Slough as “potential and significant beneficiaries of Crossrail” and say that while these areas carry greater risk, they may also yield greater rewards.
Commenting on the findings, Neil Chegwidden – Residential Research Director at JLL and author of the report says: “Crossrail has already triggered land purchases, development activity and price growth along its route and our research demonstrates that there are still plenty of opportunities to come. Whilst Whitechapel comes out top in terms of overall benefit from the line, we believe that the medium to longer opportunity areas are the ones to keep an eye on as developers and investors will seek to make the most of this transport link that will connect East to West London as never before.”