We all know that penthouse apartments command the highest rents and sales prices, but what about the apartments below? And why do apartments with identical layouts sell for different amounts, just because they’re on different floors?
If you’re thinking of investing in London property, it’s important to understand what can affect an apartment’s value to be sure of the best return. Omar Jumaili, Sales Manager at Henry Wiltshire Nine Elms Estate Agent Office explains which factors and facilities affect London apartment values and why.
“In general, the higher up a building the flat is located, the higher the price the flat can command,” explains Omar. “In the 45-storey Tower at St George’s Wharf, for example, prices increase by roughly £25,000 per floor at time of writing. Often, the top section of an apartment block is known as “the premier floors” or similar – well deserved, as these flats often have access to amenities closed to other residents.
“However, the “high floor, high value” rule doesn’t always apply, especially in buildings without lifts! In house conversions, for example, first floor apartments are usually the most sought-after, offering something of a view – sometimes through beautiful bay windows – but without giving residents too many stairs to climb. By contrast, the top floor apartment might have the lowest value, because of the number of stairs and relatively small rooms.
“River-fronted apartments are different again, with the most desirable flat usually on the ground floor, level with the river, creating the sensation of being in a boat and allowing residents to enjoy the tranquillity of the water.”
The million pound view
Omar has wide experience of selling flats with stunning views. “A view out to a famous landmark can add a substantial amount to the value of your property. Property in the Tower is has views of the Thames, the Houses of Parliament and the London Eye, making the flats highly desirable and adding significantly to their sale prices.”
Gyms, spas and cinemas
An increasing number of developments now feature residents-only leisure facilities, such as gyms and cinemas, but Omar points out that these don’t automatically increase the value of the apartments. “Cinemas and other facilities don’t directly add to the value of a property. However, such amenities do make the development more desirable, and therefore increase the unit price, both for sales and lettings. It’s important to remember that use of the gym and other amenities is usually covered in the service charges, which are correspondingly higher and may put certain buyers off.”
Omar Jumaili is one of Henry Wiltshire’s most experienced sales managers. To discuss apartment valuation or find the perfect investment property, please contact him on 020 3696 5620.