At Regal Estates, we take an interest in anything which impacts demands for property in the local area, and anything which shapes property prices. Transport hubs play a massive role in people’s desire to live in an area, and what they are willing to pay.
It is likely you know that construction on the HS2 superhub station in West London, Old Oak Common NW10, has begun. The station is located very close to Willesden Junction, is likely to welcome more than 250,000 passengers every day when it is completed. Once completed, the station will host 14 new platforms, with six of these platforms being HS2 platforms. There will be four Crossrail lines, and four standard rail platforms.
What is being said about the new station?
Transport secretary Grant Shapps said; “The start of permanent works at the largest train station ever built in the UK in one go, Old Oak Common, marks yet more progress in delivering HS2, the high-speed, high-capacity and low-carbon railway that will form the backbone of our national transport network. This ‘super-hub’ station shows our Plan for Jobs in action – kickstarting major regeneration, creating 2,300 jobs and 250 apprenticeships in construction – and underlines this Government’s determination to Build Back Better.”
HS2 CEO Mark Thurston said: “The start of permanent works at Old Oak Common station, our first station under construction, is a significant step for Phase One of HS2, as we deliver world-leading engineering to create what will arguably be one of the best-connected railway super-hubs in the UK. Over 2,300 jobs will be supported to build the new station; part of the 22,000 jobs being created to build the new high-speed railway between London and the West Midlands, and emphasising the key role HS2 is playing in Britain’s economic recovery after the pandemic.”
New jobs in the local area are always welcome, which means that there is a short-term boost to the local economy too.
Recent study emphasises link between transport hubs and property prices
A new study by Nationwide focuses on the “transport effect” on property prices, and it is still a critical factor in the housing market.
In the capital, a property found within 500 metres of a railway station or Underground line carries a significant premium compared to a property found 1,000 metres away.
Nationwide’s Andrew Harvey says: “The pandemic does not appear to have reduced the desirability of being close to a station in London, despite reduced public transport usage. Indeed, our analysis suggests the premium has actually increased slightly compared with pre-pandemic levels.”
The study finds a property within 500m from a London station carries a 9.7% premium, and for average prices in London, this equates to around £46,800. A property found 1,000m away carries a 4.3% premium, and at 750m, the premium is 6.8%.
Andrew Harvey also said; “Our analysis suggests that there has actually been a slight increase in station premiums in London compared with pre-pandemic levels. In 2019-20, a property located 500m from a station attracted an 8.6 per cent premium over a comparable property 1,500m from a station. The Circle line serves the capital’s most expensive areas taking in much of central London and also parts of west London. Average house prices are around £850,000 in areas where the nearest station is on the Circle line. Of all the London Underground lines, average house prices are least expensive where the nearest station is on the Metropolitan line. This probably reflects that it stretches towards the outer suburbs, with only a short section in central London.”
If you are interested in our lettings or property management services or you are looking to buy, sell, let or rent property in or around North West London, call us on 020 8459 2530 and a member of our estate and letting agent team will be happy to help.