In December 2014, the UK government, announced an ambitious GBP 7bn investment plan to make Manchester the ‘Powerhouse of the North’. Over a year on, there is no doubt that Manchester is already well on its way to becoming one of the most important cities in Europe.
Manchester has been an industrial hub for the UK ever since it gave birth to the Industrial Revolution in the 18th Century and is still to date a world-class city for business and retains its position as the largest UK economy outside of London. With over 80 FTSE 100 companies, around half of the Top 500 businesses in the Northwest of England have located themselves in Manchester .
According to the latest UK Region and City economic forecast, Manchester is expected to achieve 2% Gross Value Added (GVA) growth between 2016 and 2019, the highest of all Northern cities during this time.
With the city experiencing a strong employment growth in 2016, the report estimates a rise of 8,500 jobs this year, equating to growth of 2.2 per cent, significantly outpacing both the north west and UK.
Employment in Manchester is expected to grow by 0.7 per cent over the next three years with a number of sectors in Manchester expected to enjoy employment growth of 1.8 per cent, including administration & support, real estate, arts and professional services sectors.
The Northern Powerhouse is set to further boost the economic growth of North England beginning from 2010 including core cities like Manchester, Leeds, Liverpool, Sheffield, Newcastle and Hull. While London is becoming increasingly overcrowded and expensive to live in, Manchester proves itself ahead of the game creating employment opportunities and diving straight into the thriving and rapidly growing real estate market.
Matthew Jay, Managing partner at Alliance Investments states that, “There is an increasing interest in Manchester property shown by overseas investors from China and Germany. It is currently the most preferred property investment hotspot outside of London. These investments have paved way for more employment opportunities and an increasing number of ambitious real estate projects.” The rental yields of Manchester have topped the UK Property markets, standing at 6% to 8%.
Manchester is set to offer great amenities to its industry professionals with great transportation (HS2 and HS3 proposed lines to cut down travel time) and billions of dollars of regeneration investment.
With an extremely diverse community of people thriving in Manchester and many more set to take up jobs, together with the influx of foreign students, Manchester has well been on top of the charts for foreign direct investments especially in the rapidly growing real estate market.
Alliance Investments, the global sales division of 27 year Property Alliance Group have a host of prime properties in leading parts of Manchester and UK.
Downtown, Axis, Oxygen and Manhattan to name a few, these properties have become the epicenters of exceptional architecture and structural beauty, boosting the skyline of Manchester and attracting more property investment in the city.
The group is also set to capitalize on the booming student accommodation sector that is undersupplied in Manchester.
Manchester is now home to one of the highest percentages of overseas students of any UK city outside of London. The high volume and turnover of students each year presents exciting opportunities for investors wanting to purchase student investment property in Manchester.
Property Alliance Group has recently sold out Northgate studios student accommodation which offers investors a market leading premium of 8% per annum over a 5 year period. Strategically located close to the universities and city centre, this is the perfect solution for students looking for independent living in a high quality and safe environment.
The group also plans to expand in the booming yet undersupplied student accommodation rental market of Nottingham with a new project called The Lace Works comprising of 215 apartments that will cater to the needs and likes of overseas students.
To find out more and explore their diverse portfolio of upcoming projects and developments, visit www.alliance-investments.com.hk