Olympic legacy: London 2012 boroughs see house prices race ahead

The six Olympic boroughs for London 2012 have seen house prices race ahead of the rest of the UK capital in the four years since the tournament.

“Olympic legacy” was the one of the buzz-words associated with the last Summer Games, when they took place in 2012. While some Olympic host cities have since fallen into disrepair, though, London appears to have lived up to the phrase, according to residential property crowdfunding platform Property Partner.

Major financial investment has helped boost property prices by an average 64 per cent over the last four years in the Olympic boroughs of Hackney, Newham, Barking and Dagenham, Greenwich, Tower Hamlets and Waltham Forest. Meanwhile, during the same period, the average property price rose by a healthy 52.8 per cent across all 32 of the capital’s boroughs.

Property Partner analysed the UK House Price Index to calculate the city’s performance, as athletes arrive in Brazil for Rio 2016.

Waltham Forest delivered a peak performance, winning gold for the strongest growth (76 per cent) in average property price rises in London. The average cost of a house today in the East London borough is £418,146 – up from £236,796 in 2012.

Other notable risers include the boroughs of Hackney (66.9 per cent) and Newham (62.6 per cent), taking podium finishes of third and fourth respectively. Non-Olympic borough Lewisham squeezed into second place, with average house prices accelerating by 67.9 per cent, partly due to interest from homebuyers in Blackheath, Brockley and New Cross.

Former Mayor of London Boris Johnson identified the host boroughs as areas that would benefit from investment around the Queen Elizabeth Olympic Park in East London.

Dan Gandesha, CEO of property crowdfunding platform Property Partner, comments: “The economic legacy of the Games – supporting new jobs and skills, encouraging trade, inward investment, tourism and improved transport links – has meant a corresponding rise in house prices in the six host boroughs. The economic, social and environmental gap between these boroughs and the rest of London is closing.

“Over the next few years, the capital will further benefit from significant infrastructure projects – particularly Crossrail where areas that were relatively inaccessible will suddenly be on London’s doorstep. In turn, like the Olympic effect, house prices around Crossrail’s 40 stations are continuing to see an upward trend despite post-Brexit uncertainty.”