Spotlight on Lewisham
In the year to April 2016, Land Registry figures showed that house prices rose faster in
Lewisham than in any other London borough.[1] With improved transport links and many new homes being built across three key regeneration zones, this affordable borough could be an ideal place to make your next investment.
Lewisham Gateway – an ambitious overhaul of this well-connected town centre
The £375m Lewisham Gateway project to transform Lewisham town centre is nearing completion.[2] Gone is the large and dangerous roundabout which cut off the town centre from the station. In its place, there will be a newly configured road system with pedestrian-friendly, shop-lined links to Confluence Park, which is a new green space sloping down to the spot where the Quaggy and Ravensbourne rivers meet.[3]
Lewisham's renaissance began in 2009 when a 1960s town-centre estate was demolished to make room for nearly 800 new homes, along with an award-winning new leisure centre, some commercial space and creative enterprise units. As part of the project, the station has also expanded. The final part of the transformation will be the extended Bakerloo line, due sometime around 2030, offering super quick journeys to the West End.[4]
Lewisham is in Zone 2 and since it arrived here in 2009[5], the Docklands Light Railway has been providing journeys to Canary Wharf in just 16 minutes and to Bank in 27 minutes.[6] By train, the journey to London Bridge takes 10 minutes and to Victoria, 25 minutes.[7] With such fantastic travel connections and with relatively low property prices[8], it's easy to see why Lewisham is attracting many first-time buyers and young professionals[9].
Deptford and New Cross – thriving cultural area becoming an investor hotspot
No longer considered Greenwich's poor relation, Deptford is now so vibrant it's being compared to Shoreditch. As one of a dying breed of underdeveloped waterfront sites, developers have been rushing to capitalise on the emerging creative vibe that's been rippling out from Goldsmith college. With four strategic regeneration zones, the north Deptford area is set to provide over half of the borough’s new homes between now and 2026 – plus significant amounts of new business space.
Deptford High Street has plenty of new cafes and pop ups to complement its much-loved market – one of London's oldest.[10] The Deptford Project has renovated a Grade II listed carriage ramp and the railway arches below to create to a collection of independent shops, restaurants and a hip new market space. There will also be a new 8-storey apartment building to house some of the project’s 132 new homes.[11]
Like Lewisham, Deptford is well connected with both its stations being in Zone 2. From Deptford station, trains to Cannon Street in the City can take as little as seven minutes.[12] On the DLR, journeys from Deptford Bridge to
Canary Wharf take just 13 minutes.[13] Possibly one of south east London’s most exciting new investor areas, Deptford is expected to out-perform the market over the next few years.[14]
Catford – next in line for regeneration
While all the areas around it have undergone development,
Catford has remained stubbornly unchanged. Yet it's not going to stay that way for long. Lewisham Council has proposed a series of ambitious improvements to renovate its tired high street and makeover some of its post-war estates.[15]
A large-scale housing development on the site of the former Catford Greyhound Stadium is just one part of a larger project to regenerate the town centre. Another is the revamp of the Catford Shopping Centre, which the council bought in 2010.[16] In the longer term, Transport for London currently considering plans to extend the DLR from Lewisham to Catford[17], and the proposed Bakerloo line extension from Lewisham to Catford and Bromley[18].
Even without these extensions, transport links from Catford are good. It's in Zone 3 and commuters can get to LondonBridge in as little as 12 minutes and to St Pancras International in 30 minutes.[19] Plus, the DLR is only a short hop away in nearby Lewisham. Investors can get a lot for their money in Catford right now and with much regeneration in the pipeline, its relatively low property prices are sure to rise.
Current asking prices and rental yields
As of January 2017, the average value of properties in the London borough of Lewisham is £465,092. It has increased 6.57% in the last 12 months and 45.66% in the last five years. For a
two-bedroom apartment, the average asking price is £455,426 and the average asking rent is £1,500pcm, which means the gross rental yield is currently 4%.[20]
This content is correct as of January 2017
