Homebuyers Pay £2.5k More For Urban Green Spaces
Developers who are thinking about where to next invest in a homebuilding project might be tempted by urban sites that are located near parks, as these command a far higher price than city dwellings away from green spaces.
According to the latest figures from the Office for National Statistics (ONS), homes within 100 metres of gardens, playing fields, parks and other accessible green spaces in urban locations are £2,500 more expensive than if they were a further 400 metres away.
This means developers using fibre cement roofing sheets to build new houses could demand 1.1 per cent more for these properties than those half a kilometre away from green areas.
The report stated: “We found that properties very near public green spaces attracted a premium, and the more green space nearby, the higher that premium is.”
The ONS looked at Ordnance Survey’s Open Greenspace data, as well as one million residential sales in England and Wales between 2009 and 2016 from Zoopla.
Detached houses increase in price the most if they are located near to public outdoor space, with this type of property rising by 1.9 per cent if it is less than 100 metres from greenery.
This is also good news for homeowners hoping to sell their residence, if they are located close to a park or playing field, as house prices in England have only increased by 0.3 per cent in the last year.
According to HM Land Registry’s UK House Price Index, property values averaged £248,837 in July 2019, which is less than £1,000 more than it was in July 2018 at £247,981.