LONDON’S LETTINGS MARKET BENEFITS FROM INCREASE IN CORPORATE SHARING
London lettings agents Hurford Salvi Carr, reports that corporate sharing in London’s lettings market now accounts for 15% of the sector, and this is set to rise in 2007 with the continuation of rising house prices and high employment growth.
Hurford Salvi Carr’s found that the majority of corporate sharers are young professionals aged between 20 to 30 years old, who favour the bloomsbury property, Wapping Property and Docklands , Bow Property areas.
Corporate sharing is a relatively hidden market that has become more popular over the last few years as young professionals are choosing to live together. Hurford Salvi Carr reports that tenants choosing to corporate share tend to be new to London or have recently changed jobs.
Corporate sharers typically rent two bedroom, two bathroom properties and prefer upgraded facilities such as concierge services or gymnasiums. On average these rentals range from £350 to £500 per week in the Docklands, and £400 to £600 per week in the City and West End.
In terms of lease agreements, 75% are medium term one-year lets, of which half have a duration of two or more years. The remaining 25% comprise minimum six months. Higher rates can be achieved from corporate clients, with an ‘employee’ tenant staying for typically up to three years. Corporate sharers tend to lead busy lifestyles and opt to rent properties through lettings services rather than having to negotiate with independent landlords. Lettings agents are more proficient in the preparation of tenancy agreements and are also able to offer tenants expert advice on new legislation affecting their tenancies including the soon to be introduced Tenancy Deposit Scheme.
Buy-to-let investors favour corporate sharers, as they are mostly graduates in professional roles earning a high or a steady income and in most cases are willing to pay a higher rent. Their lifestyle means they eat out more, work long hours and employ cleaners. For information on lettings opportunities throughout the City, Canary Wharf and East London contact Kari Trajer at the Hurford Salvi Carr, city office on 020 7490 1122 - http://www.hurford-salvi-carr.co.uk