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Interesting overview

if it's about Cardiff.. Sport, Entertainment, Transportation, Business, Development Projects, Leisure, Eating, Drinking, Nightlife, Shopping, Train Spotting! etc.. then we want it here!
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Ash

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Interesting overview

PostSat Oct 20, 2018 2:12 pm

There's an interesting overview of the Cardiff property market in the FT.

Some takeouts.

Half of Savills’ buyers in the Cardiff area come from outside the city, says Thomas, who estimates that 30 per cent are relocating from London,

The average prime price — which Savills defines as the top 10 per cent of the market — in Cardiff is £270 per square foot, according to Savills — less than a quarter of the London average of £1,174.

Foreign interest is minimal, says Thomas, who says international buyers account for less than 5 per cent of sales. First-time buyers make up a quarter of the wider Cardiff market, says Clay, with around half receiving financial help from their parents.

https://www.ft.com/content/df201386-d06f-11e8-9a3c-5d5eac8f1ab4
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Lewisbeecham

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Re: Interesting overview

PostSat Oct 20, 2018 2:51 pm

30% coming from London is interesting. I wonder if these are people commuting by train to London or relocating for work?

Any chance of a copy and paste for the article?
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jonbvn

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Re: Interesting overview

PostSun Oct 21, 2018 4:52 am

Lewisbeecham wrote:30% coming from London is interesting. I wonder if these are people commuting by train to London or relocating for work?

Any chance of a copy and paste for the article?


Cardiff prime market undergoes large-scale facelift

Developments are gathering pace but a new tax has affected property prices

For a city with a population of about 350,000, Cardiff has produced a disproportionate number of sports stars. Geraint Thomas, winner of this year’s Tour de France, Sam Warburton, former captain of the Wales and the British and Irish Lions rugby teams, and the Real Madrid footballer Gareth Bale all came from one state secondary school in the suburb of Whitchurch. Inevitably, now, says James Thomas, associate director of residential at Savills Cardiff, “every new student thinks they will go and become a sports star”.

Developers are also thinking big. In the 2000s, Cardiff unveiled major new architectural landmarks such as the ripple-roofed National Assembly building and the Millennium Centre, built from Welsh slate and copper-oxide coated steel. Then came the financial crash.

Now, the city is evolving again, led by a few key Welsh developers, says Leah Mullin, associate in Knight Frank Cardiff’s residential development consultancy. Commercial sites include Rightacres’ Central Square development, which will house the BBC Wales headquarters from the end of 2019, and JR Smart’s 1m square foot Capital Quarter site. The Welsh capital is undergoing a large-scale facelift — though some areas have defied the makeover: on Friday and Saturday nights, the main high street is still a popular spot for stag and hen-party revellers; and debate still rages over the nickname of Caroline Street, the city’s stretch of takeaway outlets: is it “chip alley”, “chippy alley”, or “chippy lane”?

“We haven’t had residential development in the city centre for 10 years-plus,” says Mullin. Now, though, housebuilders are conspicuous. The Brickworks, a development of 100 apartments in south central Cardiff, went on the market in October 2017 and is due to complete in March 2019. One-bedroom flats start at £147,500 and a three-bedroom penthouse with an exposed brick wall is for sale at £525,000.

In Cardiff Bay, off-plan reservations began in the 115-unit Bayscape development in July 2017 — around 50 per cent are now sold. Savills is marketing a three-bedroom penthouse overlooking the Cardiff Marina for £750,000.

Planned developments dwarf those already under way. In the pipeline are a scheme to turn the Brains Brewery site on the river Taff into a 14-acre mixed-use development including 1,000 apartments and a university campus, and a proposal from developer Vastint for a 15-hectare, mixed-use regeneration project that will include up to 2,500 homes.

Cardiff is a compact capital — the castle, Principality Stadium and the Central Market are within a few minutes’ walk of each other — with the countryside on its doorstep. Half of Savills’ buyers in the Cardiff area come from outside the city, says Thomas, who estimates that 30 per cent are relocating from London, attracted by the lower cost of living. The average prime price — which Savills defines as the top 10 per cent of the market — in Cardiff is £270 per square foot, according to Savills — less than a quarter of the London average of £1,174.

But the only way is not up. Cardiff is not immune to the drag of the Brexit vote and the prime market has been hit by the Welsh Land Transaction Tax, which replaced stamp duty in April 2018. While in England, buyers pay no more than 5 per cent on the value of their homes below £925,000, purchasers in Wales must now pay 7.5 per cent in tax on the value of homes between £400,000 and £750,000. “Anything above £1m is getting sticky around here,” says Anthony Clay, partner at Knight Frank Cardiff.

Prime prices have fallen 0.6 per cent in the 12 months to September, according to Savills, though in the past three years Cardiff’s prime prices rose 2.1 per cent, while London’s fell 11 per cent. “But remember, that we never had that massive increase that you saw in the south-east,” says Clay.

The traditional prime areas are out of the town centre, says Clay: Llandaff, near the cathedral; Lisvane; and Penarth, which overlooks the Bristol Channel. In these areas, prices can reach as much as £400 per sq ft, says Thomas. A three-bedroom Grade II-listed converted apartment on the Penarth seafront is on the market with Cardiff Residential Estates for £1.2m. Further out of town, Savills is marketing a five-bedroom farmhouse on the Garth mountain in the suburb of Pentyrch for £1.5m.

Foreign interest is minimal, says Thomas, who says international buyers account for less than 5 per cent of sales. First-time buyers make up a quarter of the wider Cardiff market, says Clay, with around half receiving financial help from their parents.

Extensive infrastructure work, such as the South Wales Metro, which will connect Cardiff to the wider region, is also under way, though the electrification of the rail line from London Paddington has been delayed to 2019. But perhaps more importantly, in sport, “Cardiff has been winning a lot of things,” says Thomas. “There’s been a lot of positive vibes in this city.”

Buying guide
The average price of a home in Cardiff in the 12 months to March 2018 was £231,750, according to Hamptons International’s Land Registry data
The toll for the Severn Bridge, which connects England and Wales and is a 35-minute drive from Cardiff, will be abolished in November
City centre rental yields sit at around 5 per cent

What you can buy for . . .
£135,000 A one-bedroom new-build waterfront flat near Capital Quarter

£500,000 A three-bedroom end of terrace house in Cardiff Bay

£1.25m A five-bedroom detached house in Llandaff


Surprised by data about prime being down. In Cyncoed they seem to be selling like hotcakes.

When you look at what you get in London and Cardiff for £1m+ it is not difficult to see the attraction of Cardiff. Daily commuting is surely not workable. I would assume weekly commutes?
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Cwlcymro

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Re: Interesting overview

PostSun Oct 21, 2018 1:32 pm

Ash wrote:Half of Savills’ buyers in the Cardiff area come from outside the city, says Thomas, who estimates that 30 per cent are relocating from London,


Savills focuses on the more expensive residential properties though don't they? Except for some of the Bayscape flats, they have nothing on their website underneath 350k and most are 700k-2m
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Ash

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Re: Interesting overview

PostMon Oct 22, 2018 2:33 pm

jonbvn wrote: Daily commuting is surely not workable. I would assume weekly commutes?


There seem to be an awful lot of long- distance commuters in Penarth in particular. Most seem to work 3 or 4 days in London with another day working from home. This pattern seems to be what's caused Penarth to become a much livlier, younger community than it used to be.
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jonbvn

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Re: Interesting overview

PostTue Oct 23, 2018 12:39 am

Ash wrote:
jonbvn wrote: Daily commuting is surely not workable. I would assume weekly commutes?


There seem to be an awful lot of long- distance commuters in Penarth in particular. Most seem to work 3 or 4 days in London with another day working from home. This pattern seems to be what's caused Penarth to become a much livlier, younger community than it used to be.


Perhaps the same is true in other upmarket parts of Cardiff?

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