The London Development Research report says that 89% of new homes in Hammersmith, and 70% in Brent, are going unsold. Kensington & Chelsea are also at 80%, while Richmond are over 75%. These Boroughs are not the worst in London – Merton has 94% unsold.
Dwindling sales could force dropping of prices, or postponement of developments, as has already happened nationally. Persimmon announced this month they were halting all new developments and focussing on selling inventory until the mortgage market recovered.
The report did suggest there might be a trend emerging to sell fully completed developments unoccupied to Registered Social Landlords (RSLs), which would have a tendency to inflate the numbers, but this seemed to be speculation rather than evidence backed.