The past few weeks have seen Manchester’s property market go from strength to strength in the face of the negative projections that have marked discussion in the wake of Brexit, with the first week of July seeing planning permission approved for six central skyscraper blocks of apartments in spite of the Referendum’s result.
This comes after both RBS and NatWest, who are backing numerous residential developments within Manchester centre, have announced that the risk of economic instability has not caused a marked reduction in the strength of the city’s property market and have plans to continue to invest in similar developments.
One of the largest schemes approved at the beginning of July is a 68-storey residential tower divided into four blocks of between 39 and 66 storeys in total amounting to 1,508 apartments and penthouses.
These developments are part of the reason the head of real estate Greater Manchester and Lancashire, Heath Thomas, has spoken of the city’s property market with a degree of confidence in its continued growth, arguing the realities of the UK’s housing shortage means that there is little alternative to continuing to invest in residential developments and in doing so keep the residential property market strong.
However, RBS has stated that, despite being granted planning permission, many of these proposals will not actually progress to construction in the near future. A statement reiterated by Mr. Thomas, as a result of the massive backlog of apartment schemes which have received planning permission. Furthermore, Marnix Elsenaar, a partner at the law firm Addleshaw Goddard, has stated that the continued strength of Manchester’s residential property market will require careful handling on the part of the central government. Mr. Elsenaar believes that government schemes such as Starter Homes for example may restrict the city from providing the type of properties desired by its inhabitants.
Nevertheless, in such an uncertain climate Manchester’s future in the residential property market, for now at least, appears remarkably resilient. As Mr. Elsenaar has acknowledged, all of the ingredients needed for continued success are present in Manchester. All it requires is confidence and the expertise of those who know its property market and the demands of its people.