UK house prices see biggest spike since February 2023
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The United Kingdom’s house prices saw their sharpest annual increase in nearly two years in November 2024, signaling resilience in the property market despite elevated borrowing costs, according to official data released on Wednesday (15th).?
?? The Office for National Statistics (ONS) reported a 3.3% rise in average house prices year-on-year to November 2024, up from a revised 3.0% increase in October and marking the strongest growth since February 2023.
This news comes at the same time as the revelation that the UK’s inflation unexpectedly slowed in December, with the annual rate dropping to 2.5% from 2.6%, defying economists’ predictions of no change and fueling investor expectations for a Bank of England rate cut in February.?
Rate-sensitive sectors led in gains as British equities surged on the back of these announcements, with homebuilders up 4%, real estate rising 2.2%, and real estate investment trusts climbing 2.4%. Meanwhile utilities advanced 1.5%, and banks like Barclays and NatWest added over 1%.
?? UK government borrowing costs also eased on Wednesday following gilt yields falling across the board as a result of the inflation data, marking a shift from the recent surge to multi-year highs which had risked leaving UK homeowners to face rising mortgage rates.
Further positivity stemmed from the inaugural Visions report from Cushman & Wakefield, which highlights the UK as a resilient leader in Europe’s real estate market, with robust investment across healthcare, hospitality, and retail despite recent market contractions.
?? London’s office sector is continuing to thrive, driven by strong demand for high-quality refurbished spaces and projected growth in prime rents, while experiential leisure investments reflect robust consumer interest in experience-based sectors.
Join the top CIOs and Heads of Real Estate active in Europe as we start 2025 with the GRI UK & Europe Reunion 2025, where the impacts of these ongoing developments, and more, will be addressed by the biggest decision makers in real estate.
The evolving demands of life sciences real estate
During the recent GRI Credit Opportunities & Real Estate Debt 2024 conference, top executives in the life sciences and real estate industries gathered for an exclusive roundtable discussion, sponsored by JLL, to address the emerging opportunities and challenges in the sector.
As industries around the world tackle the lasting effects of the global pandemic, the life sciences sector, including fields such as pharmaceuticals, biotechnology, healthcare, and medical research, faces a new challenge: the lack of lab space in major cities.?
?? Urban clusters in cities like London, Paris, and Barcelona are driving demand for specialised lab spaces, while government support and rising interest in turnkey facilities are positioning hubs like Munich and Barcelona as leaders in biotech and clinical research.?
However, the life science sector’s true potential hinges on overcoming regulatory complexities and creating versatile spaces to meet evolving needs.
Unlocking growth with hospitality branding expansion
Tobias Reinecke, Director of Investment & Strategic Partnerships EMEA at Choice Hotels, recently joined Gustavo Favaron, CEO of GRI Club, at GRI Hospitality Europe 2024 in Madrid for an interview on his outlook for the sector.?
?? Tobias shared his insights into Choice Hotels' ambitious expansion strategy, where the company is seeing its largest growth opportunities, their vision for the future of hospitality, and how key regions such as EMEA, South America, and APAC are driving the future of this exciting market.
Find out how Choice Hotels is redefining its international presence and why they remain a key player in the hospitality sector.?
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