Why You Should Invest in Northern Powerhouse Property

The UK government’s Northern Powerhouse strategy has been transforming the North of England into a commercial hub that rivals some of the biggest economies in the world. With major investment in infrastructure, business and development across the region, it is a great time to purchase Northern Powerhouse property.

The Northern Powerhouse strategy has encouraged increased communication and collaboration between the cities of the North. It has also encouraged international investment into the region and strong links between Northern England and other countries have been forged. Due to this far-reaching programme of improvement, more and more people are choosing to live and work in the Northern Powerhouse. Recent infrastructure improvements like HS2 and improvements to road networks mean that the North is far more accessible which is another big step in addressing the balance between the North and South.

This can be seen in the considerable population growth in many of the Northern Powerhouses’ key cities. In a recent report on UK city growth, Manchester witnessed the fastest city centre growth between 2002-15. Liverpool, Newcastle and Leeds also grew rapidly.  The chief executive of Centre for Cities, Andrew Carter said “30 years ago the centres of places like Manchester and Birmingham were run-down and struggling, but since then they have undergone a dramatic transformation and have become increasingly attractive locations for people to live and work in.”

From 2002-15 the population of Manchester grew by 149%, the population of Liverpool grew by 181% and the population of Leeds grew by 151%. This rising population has called for a greater amount of accommodation in the city centres and developers and property experts like RW Invest are leading the way. Like the rest of the UK, there has been a consistent shortage of housing in the North of England, and demand for rental accommodation is far outstripping supply. This means that investors in Northern Powerhouse property have a huge market and significant demand. New developments like One Baltic Square, West Point Manchester and The Warehouse are all providing better accommodation and sought after high-end living.

Designated regeneration zones have been another big part of the Northern Powerhouse strategy, with targeted investment aiming to make forgotten areas vibrant places to live. MediaCityUK in Salford is a great example of the impact that this kind of investment can make, with properties in that area rising rapidly in value. The Baltic Triangle in Liverpool is another lesson in how innovative businesses and forward-thinking planning can allow an area to flourish, attracting new residents to the area.

Rental yields have also been on the rise in the Northern Powerhouse. For buy let property investors, the Northern Powerhouse’s growing appeal is starting to be noticed around the world. In a recent study by Totally Money it was found that most of the best performing postcodes in the UK when it came to rental yields were in the Northern Powerhouse region. The Northern city of Liverpool topped the tables with its L7 postcode boasting rental yields of 11.79%, and neighbouring L6 came in second with an equally impressive rental yield of 11.59%. Middlesbrough’s TS1 postcode came third with a yield of 10.94% and Manchester’s M14 postcode, covering two university campuses in the city had average rental yields of 10.08%. These impressive rental yields mean that the Northern Powerhouse is an ideal location to invest in property.