Park Royal regeneration creating investment opportunities in West London
A £26 billion masterplan is creating a new district with 40,000 homes and one of London's largest transport interchanges in the west of the UK capital.
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One of the world's most popular cities to live, work, study and invest, London is a city in perpetual transformation. With a population growing by almost 10 percent every decade, demand for property in London is sky high. Regeneration projects all over the city are creating new residential districts to meet this demand and offer long-term gains for investors, particularly in West London.
Spanning 1,600 acres, Old Oak and Park Royal is the UK's largest regeneration project with a 30-year vision of establishing a thriving new district in the west of the capital. The £26 billion (HKD 267.25bn) masterplan involves the creation of up to 40,000 homes, a new high street and retail centers, two major campuses for Imperial College London and the only high-speed transport interchange in London connected to both Crossrail and HS2.
A well-connected area benefiting from cheaper house prices than Central London, Park Royal will see rapid population growth as the new infrastructure and amenities are completed, rising from 4,000 to an estimated 60,000 residents by 2047. According to London Mayor Sadiq Khan, “Old Oak and Park Royal is one of the most important regeneration projects in London and is set to be the largest new development in the capital since the London 2012 Olympics and Paralympic Games.”
Booming economy
Scheduled for completion in 2026, the new stations at Old Oak Common will improve access and shorten journey times across London and throughout the UK. Serving around 250,000 passengers daily, the interchange will have connections to the London Overground, the Crossrail Elizabeth Line serving London and South East England and HS2 high-speed services to other major UK cities including Birmingham, Manchester and Leeds.
Just 20 minutes from the center of London, Park Royal offers a more affordable alternative to expensive Central London property prices for commuters and local businesses. For global enterprises, the international connections of London Heathrow Airport are less than 40 minutes away by rail and 25 minutes by road.
The local economy will benefit significantly from the influx of residents and businesses attracted by the regeneration. An estimated 31,000 people already work in Park Royal, over half employed by small to medium-sized enterprises, and the area is also the headquarters of 19 large firms including McVities and Carphone Warehouse. These numbers are expected to increase considerably in the coming years, with an estimated 65,000 new jobs, more businesses relocating to the area and the new £3 billion Imperial White City Campus helping to establish Park Royal as a new global hub of industrial and economic innovation.
Rising values
As the urban transformation continues at pace over the next few decades, demand for property in Park Royal will become ever higher, driving up house prices and rents to benefit landlords. Even in the early stage of regeneration, Park Royal is already attracting prosperous singles, couples and families who require comfortable property close to the station area. The average house price in Park Royal has increased by 16.46 percent over the past year alone and is set for faster growth when Crossrail and HS2 enter service.
A number of residential projects are now underway in Park Royal to cater to this rising demand. These include the £600 million Acton Gardens scheme in South Acton and £175 million Oaklands Housing Project, both focusing on affordable housing. Of more interest to overseas property investors, Regency Heights is a collection of over 800 apartments and studios in Park Royal just minutes from Park Royal station, offering competitive prices with the expectation of high returns.