In light of the release of new sales figures suggesting it is on the up, this week Simon Morris asks whether UK property investment funds should invest in the Northern Irish property market.
Location is Everything in Property
As a London-based property specialist, who acts in a consultancy role for UK property invest funds to ensure they can maximise profit potential from their property portfolios, Simon Morris understands the importance of location.
As often seen with the London market, if you catch the right location at the right time, it can prove highly lucrative. This leads us to ask, is this the right time to invest in Northern Irish property?
21 Transactions Equal £411 Million
If the latest figures are to be believed, then yes. According to the Belfast Telegraph, property consultants CBRE have released new data on Northern Irish property deals. For the first nine months of this year, 21 transactions were completed. These sales totalled £411 million.
Furthermore, the market seems to be picking up steam. CBRE’s figures show that from the latest quarter of 2014 – July to September – property deals totalled £267 million. For the entire first half of the year, property deals in the Irish part of the United Kingdom totalled just £144 million.
What is Driving Property Growth in Northern Ireland?
So we know that the Northern Irish property market has raised in value, but what is driving the increase? The figures show that the increase is largely being driven by new interest in Northern Ireland’s retail sector.
The figures go on to show that 94% of the deals that have been conducted in Northern Ireland in 2014 were in the retail sector. These have included some significant property purchases, including the sale of Londonderry’s Foyleside Shopping Centre, the sale of Newtownabbey’s Abby Centre and most notably, the sale of the Forestside Shopping Centre in Belfast.
Catch a Market at the Right Time
So therefore in Simon Morris’ opinion, it would certainly prove lucrative to invest in Northern Irish property right now. That is because, as Simon Morris illustrates in his guide to investing in London property, you have to catch a market at the right time for it to prove lucrative for UK property investment funds.