The Investment Case for Hastings

Summary

It is our belief that there is a compelling investment case for residential property in Hastings, a coastal town in East Sussex, in the South-East of England.

Three factors underpin the investment case for the area:

  • Savills, in their forecasts for house price growth by region, have the South-East of England as the region of the country they expect to appreciate most in value over the next 4 years – a predicted 22.7% (2016 & 2017: 6.5% p.a, 2018 & 2019: 4% p.a.).
  • Hastings has recently been named in the top five English ‘heritage assets’ in the country. The town also has a growing arts and culture scene that is making it an increasingly attractive destination and place to live.
  • The Hastings properties available on our platform are geared ​and acquired at a discount​. Gearing gives enhanced exposure to property price movements, and the potential for amplified returns; though investors must note amplified negative returns if prices fall. If you’d like to find out more about the effects of gearing, click here for our blog post on geared property.

These points are discussed further below, or you can go directly to our property page by clicking here:

 

The South-East of England is expected to see strong capital growth

With the support of extensive industry research, combined with the knowledge of our experienced property team, we believe investments in this region to be an attractive opportunity – and a chance to diversify from London.

The well-regarded research team at Savills have the South-East as the region they expect to be the highest-performing between 2016-2019. They forecast growth of 6.5% p.a. for 2016 & 2017, and 4% p.a. for 2018 & 2019, making a total gain of 22.7%.

Another strong research team, at Knight Frank, forecast capital growth close to this level at +23.4% (2015-2019).

The area is also seeing considerable investment, with £500m of public money currently being invested around East Sussex. The Hastings-Bexhill Link Road is a new road, and a >£100m project that is due to open shortly. A new 50,000 square metre business park is also being developed in the area.

Growth in the area of Hastings is supported by particularly strong transport links. Our properties are a 15 minute bus journey (1.75 miles) from Hastings Town Centre and Hastings railway station. The station offers direct services to Brighton, London Victoria and London Charing Cross.

Hastings has a thriving arts and culture scene, and benefits from surrounding natural beauty

The town is increasingly reported, in the media, as a hotspot for arts and culture and an attractive alternative destination to the well known, already upmarket seaside resort of Brighton. Key new spots include the Jerwood Gallery, a Creative Media Centre and a newly revamped University of Brighton in Hastings campus, which is attracting young people to the town.

Furthermore, a recent report found ‘Hastings to be in the top one per cent for industrial heritage and parks and open spaces, as well as the top five per cent for landscape and natural heritage’.

Our properties are minutes away from High Weald: an Area of Outstanding Natural Beauty (AONB), and the fourth largest AONB in England and Wales.