The average price of a home located on one of central London’s garden squares now costs above £2m and commands a sales premium of 25 per cent over a similar home in the surrounding area. This according to new research published today by leading residential estate agents, Hamptons International, sponsors of London’s Open Garden Weekend 2015 (13 – 14 June).
It is the second year that Hamptons International has carried out the research which analysed house prices in and around 64 of central London’s garden squares. The 25 per cent premium for 2015 remains unchanged from 2014, although the average price of a home in a garden square rose 7% to £2,040,713, breaking the £2 million mark for the first time.
In order to derive the premium, the analysis compared sales prices – taken over a five year period - of properties located on a garden square, compared to those within a 200m radius of a square. All prices were indexed forward to Jan 2015 values, to account for house price inflation.
In 2015 a property situated on a central London garden square sells on average for £2,040,713 compared to £1,643,907 for a similar property within a 200m radius of the square. For houses the price differential is even greater. The average price for a house located on a garden square in 2015 is £5,022,221, compared to £3,320,582 for a house within a 200m radius of a square.
Commenting on the findings, Johnny Morris, Head of Research at Hamptons International said:
“Growing house prices have seen the average home on a central London garden square break the £2m mark for the first time.
“As well as the view of and access to shared resident-only gardens, many of these homes are in the capital’s most desirable locations, with names such as Eaton Square or Chester Square recognised the world over.
“While in part it is the address that purchasers are paying for, the size and quality of the property is also important and London’s garden squares are home to some of the finest examples of British architecture in the capital.
“Overall it’s a combination of factors that accounts for the price premium buyers are prepared to pay for a home on a London garden square – namely setting, prestigious address and exceptional architecture.”
Hamptons International is a sponsor of Open Garden Squares Weekend which this year takes place between 13 – 14 June when many of London’s exclusive squares (and private green spaces) will be open to the public.