LONDON PROPERTY PRICES: Lambeth

• Despite being close to both the City and the West End, and home to the eclectic Southbank Centre, Lambeth hasn’t attracted the attentions of developers. Until now, that is: the northern part of London’s largest redevelopment zone, the 195 ha Vauxhall, Nine Elms and Battersea (VNEB), falls within the borough.

• VNEB takes in Battersea Power Station in the north, up to Lambeth Bridge, and is planned to provide 18,000 new homes, 22,000 jobs and improved public facilities.

• There is also the garden bridge across the Thames, a plan hatched by veteran star, Joanna Lumley. At over 350m long, it will feature trees, shrubs and wildflowers.

• CBRE analysis shows regeneration in general can boost local property prices by around 4.9% per annum, over and above wider capital growth. VNEB is expected to have a similar impact on the local market.

• Historically, prices in a once-undervalued area tend to see a price uplift as it gradually becomes a prime property spot. New build values along the river were around £500 psf pre-2008, but are now nearer £1,500 psf and are being sold at a 25% premium to the secondary market. The high demand for these properties is reflected in the 71% off plan sales rate.

• There are several tower projects developing along Lambeth’s river edge. Soon to add to the recently constructed St George’s The Tower at the river’s south end are the 36-storey Vauxhall Sky Gardens and Nine Elms Point (39 storeys).

• The Lambeth skyline is being irrevocably changed. Other towers in the pipeline include the 50-storey Vauxhall Square tower and Vauxhall Crossand the 37-storey Southbank Place.

• Average house prices in Lambeth are currently around £530,000, the fifth-lowest in Inner London.

• Prices increased 20% last year, the fourth-highest growth across Inner London boroughs, attributed to the impact of the regeneration. This trend is expected to continue.

• However, prices range significantly across the borough. The highest-value properties on the Southbank are those with river views, especially of the Houses of Parliament.

• Lambeth has the second-highest population in London. This is expected to grow 8.1% to 344,487 people over the next decade, or an extra 25,864 people. There are 5,380 units in the planning pipeline, and future supply is expected to fall short of future demand.

• However, Lambeth, home to the popular Brixton and Clapham neighbourhoods, National Theatre and London Eye, currently has the third-highest employment rate in London.

source: London living: A borough by borough showcase by CBRE

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