Property market is showing new impetus, says surveyorNov 29, 2013
That is the message from a leading chartered surveyor in the city, who reports a rise in enquiry levels and more completed transactions in the past six months.
Jay Raj (pictured), head of commercial at Kirkby & Diamond, added: “There has been a noticeable pick-up which has helped reduce the level of vacant stock available throughout Milton Keynes. It is also helping divert values from their downward trajectory.”
Large freehold deals, such the £1m+ sale of Relaxsan House in Maidstone Road, Kingston, and that of an industrial unit at Denbigh that achieved £200,000 epitomise the new optimism in the market.
Many smaller transactions have helped to support start-up businesses.
Mr Raj said: “We have seen some measure of consistency which is illustrating the start of a trend that hopefully will encourage developers to act.
"Speculative development has dried up in Milton Keynes because of the reducing demand and the reduction in available funding but hopefully as values continue to firm they will be convinced that development schemes in Milton Keynes are economically viable again.”
Tenants are now looking to tie landlords down to favourable new terms before the landlord decides to capitalise on the increasing enquiry levels. Confidence in rent levels will also encourage refurbishment and property acquisition, Mr Raj said.
“We are still below the top of the market," he added. "Through 2012 we were seeing values drop up to 50% on some properties. We are now recovering from that base level but there still some way to go to achieve the levels last seen in 2007.
“It’s still a buyers’ market.”