Luton Research Report October 2018 By Strawberry Star Research

Transcription

1 Luton Research Report October 18 By Strawberry Star Research luon.com

2 Table of Contents Table of Contents... LUON...3 About Luton... 5 Luton - a top London commuter town...5 Connectivity...7 Planned Infrastructural Investments in Luton... 8 Employment Home Ownership and Affordability Housing Sales Market Luton Rental Market Home Building Target and Activity Luton Demographics...19 Economy and Policy... Impact of Government Policies... 1 First time buyers and home movers...1 Investors... APPENDIX...3 Luton Regeneration Luton Map - The Golden Triangle

3 Introduction LUON A residential-led mixed use development by Strawberry Star Homes in Kimpton Road, Luton, close to London Luton Airport. The development is just metres from the Luton Airport Parkway Railway Station and comprises 785 residential units (suites, 1-bed & -bed apartments), including 8,4 sq. ft gym facility, 49,6 ft retail space, over hotel rooms and 1,+ sq metres of attractive public realm and parking spaces. The residential development will be released in two phases with a target completion of Phase 1 in 1. LUON is designed and modelled specifically for first-time buyers, young professionals commuting to work, home-movers, buy-to-let landlords, and international investors. As a top London commuter belt town, Luton provides first-class infrastructure with high-speed travel into Central London, easy access to the M1, M6 and M5 motorways and Luton Airport, which offers connectivity to 3+ countries and over 14 destinations across Europe, Asia and Africa. As well as being at the heart of one of the region s most important historic sites (the former Vauxhall Motors factory, where some of Britain s most iconic and best-loved cars were built), LUON is putting Luton s most exciting new neighbourhood on the map. 4/7 Concierge services 4 hour CCTV Video entry system Luxury and stylish interiors Restaurants and bars Bicycle storage Storage / Recycling Centre Secure parking Multiple landscaped private roof-top gardens Provisions made to include supermarket, childcare and pharmacy Boutique Retail Shops 3 / 4 star Hotel Convenience Stores Solar panel MVHR Ventilation system Hyper-optic Connectivity Over 1, sq metres of attractive public realm, open spaces and landscaped gardens 3 4

4 About Luton - a top London commuter town The Luton London connection is the result of a centuries-old relationship between the two locations. It all started with a mythical beast - the emblem of a griffin, which is visible throughout Luton. The creature of folklore was adopted as a logo by Vauxhall Motors. Scottish Engineer Alexander Wilson, who founded the company in Vauxhall, South London in 1857, took the name for his new business venture, bringing the griffin emblem back to its ancestral home of Luton and strengthening its long-standing link with London. Luton is in an unrivalled position, located just 3 minutes by train and 3 miles drive to London. Luton s combination of superb infrastructure, great transport access and an increasing skilled workforce makes it one of the UK s best opportunities for business, investment and the property market. It also ranks 4th in the Top 1 Greenest Index, which focuses on UK towns and cities for environment and sustainability performance. Located in the South East, Luton is surrounded by the Chilterns, designated as an Area of Outstanding Natural Beauty. Luton offers the best of both worlds - a modern town with excellent business opportunities and accommodation with a superb countryside on its doorstep, making it a wonderful place to live and work. With a population of about 16, people, Luton has a very rich cultural heritage and diverse community and located within the famous Golden Triangle of Cambridge, Oxford and London, encompassing Europe s top universities. Luton boasts of top of the class amenities, most of which are within a short distance from LUN. These include popular schools such as the internationally recognised University of Bedfordshire and a host of outstanding primary and secondary schools. There are innumerable attractive parks, open spaces, shopping and recreation centres including golf courses, the popular Luton Cultural Quarter and Luton Shopping Centre, which are going through major improvements. Properties in Luton outperform neighbouring towns and commuter towns with similar journey times to London, in terms of value for money, capital growth and investment returns. Restaurants 1. Cafe Shimla. Brasserie Azure 3. Villa Ada 4. Monna Lisa 5. La Trattoria 6. Nakorn Thai 7. Papa J s 8. Desert s Rose 9. Steakout Luton 1. La Dolce Vita Bars/Pubs 11. George II 1. The Black Horse 13. The Great Northern 14. The White House 15. Off the Wall Luton * The Luton DART is scheduled to open in 1 London Central Terminus Source: Strawberry Star Research / National Rail & Zoopla (Oct 18) 5 6 Schools - Each with Grade 1: Outstanding Ofsted Rating 16. Tennyson Road Primary School (.8 miles from LUON) 17. Hillborough Infant School (1.1 miles from LUON) 18. Crawley Green Infant School (.5 miles from LUON) 19. Richmond Hill School (1. miles from LUON). Woodlands Secondary School (3.6 miles from the LUON)

5 Connectivity With three mainline rail stations, two M1 junctions and an international airport, Luton s transport links are second to none Only 3 minutes from London and a little over an hour from the Midlands by rail, Luton s connections take people across the UK and to Europe, including direct train links to St Pancras International, where you can catch the Eurostar to Paris, Amsterdam and Brussels. Also, the newly launched Thameslink railway, offers frequent direct train travel to other London termini and centres including London Bridge, Blackfriars and London Farringdon in less than an hour Excellent road connections newly-widened M1, minutes from the M5 and a short distance from the A1 The Busway is a revolutionary transport link that connects Luton, London Luton Airport, Dunstable and Houghton Regis. These routes provide core services between Luton and Dunstable every 7 minutes at peak times. This provides fast, frequent and reliable transport on the traffic-free guideway between the two town centres in just 15 minutes. The Busway is both flexible and quick, providing efficient travel for both work and leisure London Luton Airport offers flights to more than 14 destinations across Europe, Asia and Africa According to the Luton Airport Guide, 15.7 million passengers travelled through London Luton Airport (LLA) in 17, an 8.6% increase from 16 Fully connected to superfast broadband with a coverage of 97.6% in Luton Connectivity Points LUON 3 Mins by train to London King s Cross St. Pancras International Direct Trains To London Bridge, Blackfriars and London Farringdon Mins Walk from LUON to Luton Airport Parkway station Planned Infastructural Investment in Luton m investment to build a.1 mile Direct Air to Rail Transit (DART) driverless rail shuttle that will provide fast, frequent and reliable transfers for passengers between Luton Airport Parkway rail station and Luton Airport Terminal in around 5 minutes, 4 hours a day. The DART is scheduled to become operational in 1 Luton Airport is currently undergoing a 16m expansion that has the potential to contribute 4.3bn to the UK economy by 34, creating 7, jobs nationally, 4, jobs in Luton and over 18 million passengers per year by Transformation of the Luton shopping centre and the Luton Cultural Quarter, which will contribute an additional 9m to the local economy and increase employment The area adjacent to LUON site is one of the only 4 areas in England that secured an Enterprise Zone status (for priority economic growth ), with a catchment reach of 3 million people; higher than the London Heathrow Enterprise Zone catchment area 1.5b investment in the next years, that will create an estimated 18,5 jobs in Luton Confidence in the Luton economy is also boosted by the 35m investment in the Luton Airport by the Australian company AMP Capital 3 million funded improvement to M1 Junction 1a which will vastly improve traffic flow to the airport and surrounding area Investments in Luton 1.5bn Planned regeneration and investment in Luton Luton DART Driverless trains from Luton Airport Parkway Station to Luton Airport Airport Expansion Potential to contribute 4.3 Billion to UK economy Priority Economic Growth Area Enterprise Zone Status for major regeneration Direct train connections (Luton to London) By Train 37 mins London Farringdon By Foot Luton 3 mins London Kings Cross St. Pancras 45 mins London Bridge Eurostar Connection to Paris, Brussels & Amsterdam 41 mins London Blackfriars 7 89

6 Employment A report from the Luton Functional Economic Market Area Study (LFEMAS), shows that Luton has a selfcontainment rate of 63%, indicating that the labour market is more localised. Luton has a strong functional commuting relationship with Central Bedfordshire, St. Albans and North Hertfordshire, with commuter flows into Luton originating more from the north while flows out of Luton extends towards the south of Luton. The table below shows that there are more higher level professional occupations commuting into Luton than similar occupational level that are commuting out of Luton. With a significant number of people from the towns within the Luton housing market area commuting to London and with more people (37.7%) from Greater London drawn to Luton Airport, a residential scheme in Luton will be marketable to people in these locations. Table : Luton Commuter Statistics by Location in 11 5% 4% 3% % 1% Percentage of the 33,495 commuters out of Luton 35% 9% Hertfordshire 8% Wider Bedfordshire 1% Buckinghamshire Northamptonshire Percentage of the 34,4 commuters into Luton 4% 19% Northamptonshire Northamptonshire Wider Bedfordshire Hertfordshire 6% % Luton is home to big companies, which are contributing to the increasing trend in office employment in Luton. Luton airport is the major driver of the Luton economy and employs over 8,6 staf (which is over 1% of all employment in Luton). Due to the presence of Luton Airport the likes of easyjet and TUI have presence in luton. These companies as well as Vauxhall Motors, Luton Borough Council, The NHS, University of Bedfordshire and IBC Vehicles Limited employ over a thousand staff each. Other high employers include Ernst and Young, Selex Galileo (BAE Systems), AstraZeneca, Blue Arrow, Hewlett and Blondeau and Chargemaster. Employment in Luton 55% Proportion of high level occupation commuters into Luton 34, Average number of Luton inbound commuters Source: Strawberry Star Research using LEFMAS & ONS Census 11 data 6% 5% Table 3: Luton Commuter Statistics by Occupation 4% 45% Out Commuters 55% In Commuters 18,5 Projected extra jobs in Luton 3% % 1% Higher Professional/ Managerial Occupations 31% Intermediate/ Small Employers/ Lower Supervisory Occupations 4% Semi-routine/ Routine Occupations Higher Professional/ Managerial Occupations 8% Higher Professional/ Managerial Occupations Semi-routine/ Routine Occupations 17% Source: LEFMAS Table 4: Commuting to London from Luton and near-by towns Number of people commuting into London from: Source: Strawberry Star Research using ONS Census 11 data Canary Wharf City of London Westminster Luton ,1 Hertfordshire (exc. St. Albans) Central Bedfordshire Milton Keynes Bedford Buckinghamshire St. Albans,36 11,3 15,5 7 1,4 1,9 71 1, , 6,5 64 3,5 3,5 9 1

7 Home Ownership & Affordability Average home* prices in Luton have now overtaken the England average home prices. However, this is still significantly below the average house price in the London commuter towns with similar journey times as Luton and the towns along the same train journey to London from Luton. At up to 9 times the average earnings, housing in Luton is more affordable compared to neighbouring towns and other London commuter towns Based on the median house price data from the ONS, Luton house prices increased by 411% in the years to December 17, 57% in the 5 years to 17 and 11% between 16 and 17, which are significantly more than the nearby commuter towns With a relatively lower median gross annual earnings (residence based), and lower house priceto-earnings ratio, Luton residents are more likely to be able to afford a new home in Luton despite the higher house price growth. Also, the rate at which houses are becoming less affordable in Luton is increasing at a slower rate (14%) than London (49%) and the commuter towns near Luton The proportion of dwellings occupied by their owners in Luton increased from 63% in 1 to 64% in 15. Home ownership in the neighbouring boroughs and London declined in the same period More people are moving to Luton as homes in commuter towns near Luton continue to be less affordable. There is evidence that the Luton housing market is fast developing, less saturated and has better scope for capital appreciation than nearby commuter towns TABLE 5: Median gross anual earnings in 17 Local Authority Work-place based Residence based Luton 3, 8,796 St. Albans Stevenage Watford Enfield Slough 31,347 39,83 34,675 8,964 8,48 35,66 8,843 3,9 3,47 8,743 Home Ownership & affordability 9.3x Luton house price to earnings ratio better than London and other commuter towns Figure 1: Luton - Median house prices Woking England East London South East 3,748 9,79 8,46 37,9 3,19 35,99 9,85 3,33 34,75 31, % Luton house price increase over years to 17 Source: Strawberry Star Research using ONS data Table 6: Percentage breakdown of dwelling stock by tenure Source: Strawberry Star Research using ONS data Figure 3: Luton - House Price to Earnings Ratio (Lower quartile - Residence based).7% 6.1% 18.4% 17.3% 63.5% 51.1% 66.% 69.1% LUTON LONDON EAST SOUTH EAST Owner Occupied (%) Privately Rented (%) Source: Strawberry Star Research using ONS data * The terms home, homes, housing and house are used interchangably throughout this document and represent all residential property tenures. Source: Strawberry Star Research using ONS data 11 1

8 Housing Sales Market Based on the Land Registry s price paid data, average price paid for all residential properties in Luton has increased by 43% in the 1-year period from 8, in 7 to 414, in December 17. This includes an 8% increase between 16 and 17. New builds contributed to an average of 9% price growth within the 1-year period The data reflects an increasing and greater supply of new-build flats and a mis-match of demand and supply of detached houses There were 3,83 units sold in 17, which is an increase of 49% in the 1 year from 8, and an increase of 7% compared to the total sales transactions in 16. The number of flats sold increased by 96% during the 1-year period, more than other tenures Similarly, new builds sales transaction has increased by 441% over the 1-year period and 65% between 16 and 17, reflecting increased newbuild activity compared to the previous years. New build sales make up only 14% off all sales transaction in 17, increasing from 4% in 7 Flats constitute 73% of all new-builds sold in 17, reflecting greater supply of new-build apartments than other tenures. Overall, semidetached houses (35%) still make-up the highest number of all property sales in Luton but flats are catching up having moved from 19% in 8 to 5% in 17, reflecting the changing demographics To better represent the growing influence and significance of Luton housing market, Luton has recorded significantly more growth in the volume of all new-build (786%) and apartments (158%) sold between 13 and 17, compared to other London commuter towns with similar journey times. In fact, the commuter towns of St. Albans, Watford and Enfield, that are on the same train journey into London, have witnessed a decline in sales volume over the same period. This confirms a demand shift towards Luton as housing in these neighbouring towns becomes increasingly less affordable Figure 8: New-build sales transaction volumes in Luton Source: Strawberry Star Research using Land Registry data Figure 9: Changes in new-build sales volumes (13 vs 17) Luton - Median house price growth to December 17 Broxbourne Welwyn Hatfield North Hertfordshire East Hertfordshire East South East England Stevenage St Albans Luton 57% 11% 411% % 5% 1% 15% % 5% 3% 35% 4% 45% Source: Strawberry Star Research using Land Registry data Housing Sales Market 9% 441% Price growth of Increase in new-build new-builds in the 1 sales transaction volume 73% of New-Builds Sold in 17 were Flats 5 Year Change 1 Year Change Year Change year period to 17 over 1 years to 17 Source: Strawberry Star Research using Land Registry & ONS data 13 14

9 Luton Rental Market Luton has been popular in various media reports as a top buy-to-let location in England, gaining the top spot for the third consecutive time since 16, according to LendInvest in its July 18 edition. With over % of the households living in private rental accommodation, Luton has a more vibrant rental market than the East and South East regions of England, excluding London. This is mainly due to its younger population, proximity to London, affordability, employment cluster and good infrastructure and amenities. The relatively lower house price, good rental value and huge capital gain, makes Luton a top hotspot for property investors. Asking rental prices range from 4 per calendar month (pcm) in a shared town house to 1, pcm for 1 bed flat, 1,15pcm for bed flat, 1,35pcm for 3 bed flat, (Rightmove, September 18) Average rental yield for all properties in Luton LU post code, according to Zoopla, is 3.63%. This is even better for flats, with 1 bed flats achieving an average asking yield of 4.6%, 4.8% for bed flats and 5.6% for 3 bed flats Figure 1: Historic and projected average monthly rents paid by tenants Luton - 5 to (projected) According to a report by Venture Residential in January 18, Luton s rent is projected to grow by 8.9% in the 5 years to. However, LendInvest reported an annual rental growth of 3.7% in Luton, which is similar to London rental growth Luton Rental Market 1% of all properties in Luton are occupied by private rentals 8.9% projected rental growth in the five years to 3 year or Longer Tenancies The UK government have introduced longer tenancies which are more family friendly to provide better security for renters. This will reduce voids related costs and improve rental yield for investors. This policy has already seen the offer of 3-year or longer tenancies being made available to 35, tenants across the country according to British Property Federation estimates 35, tenants in the UK have benefitted from longer tenancies since the policy was introduced Source: Denton House Property Research 15 16

10 Home Building Activity Demand for housing in Luton is projected to increase by 8% in the 7 years to 45. This equates to,539 additional homes by 45. This means that Luton needs a target housing delivery that is equivalent to or average of 835 units per annum to meet the growing household population. House building starts are a good indicator for measuring confidence in the housing market. The chart below shows that the number of new house building started in Luton since January 18 (36 units) has surpassed the total building starts in 17. This reflects both the confidence in the Luton housing market and the increased demand for housing that is mainly due to more people from the less affordable nearby commuter towns moving to Luton. Also, net housing supply has increased to 798 units as at March 17 compared to 64 units in 16. This equates to net housing supply of 418 units per annum in the six years to March 17, which is significantly below the target housing. Home Ownership & affordability 8% Projected increase in demand for Figure 11: Housing (dwelling) demand projections in Luton housing in Luton by 45 Luton: Housing (dwelling) Demand Projections (s) Figure 13: Net Housing Additions in Luton 1-17 Luton: Net Housing Additions Strawberry Star Research using data from East of England Forecasting Model: Source Strawberry Star Research using data from DCLG Housing Starts Housing Completions Source Strawberry Star Research using data from DCLG* * Department for Communities and Local Government (DCLG) Figure 1: House building starts and completions in Luton

11 Luton Demographics Economy & Policy With a population of about 16, people, Luton s population is projected to increase by 15% between 16 and 41. This is higher than the population growths in the nearby boroughs of St. Albans (14%), Broxbourne (14%), South East (13%) and England (1%), over the same period Over 65% of the Luton population, according to ONS 16 data is economically active. The active population (15 to 64 years) is projected to increase by 11.3% in the 5 years to 41. Also, with an average age of 35 years, Luton has the third youngest city population in the whole of UK, according a report by the Centre for Cities in 18 The total households in Luton are projected to increase by 37% between 14 and 39. This is equivalent to an average of an additional 1,139 households per annum over the 5 year period. This validates the additional housing requirements per annum mentioned above that are required to accommodate the increasing Luton population Luton Demographics 15% projected population increase in Luton by years average age of Luton s population, making Luton the third youngest city population in the UK 37% projected increase in the number of households in Luton by 39 With housing demand projected to increase by 8% in 45, Luton s economy is experiencing significant change in all aspects, including: Luton s job workforce has grown by % between 1997 and 16. According to the Luton and Central Bedfordshire Strategic Housing Market Assessment 15 report, about 11,3 extra jobs will be created in Luton between 11 and 31. This has now been revised to 18, extra jobs due to the level of infrastructure development With a higher labour productivity than the East of England and the UK, Luton outperforms neighbouring councils in terms of Gross Value Added (GVA - a measure of economic activity) per employment job figure and GVA per capita, reflecting high value activities The employment trend in Luton is shifting towards office jobs with steady increases in the administrative and professional services Table 13: Economic Indicators - Others Luton has the eighth highest business start-up rate (66.4) per 1, residents and a GVA per worker (5,498) that is higher than major cities like Cambridge (49,777), Birmingham (48,4), Liverpool (48,831) and Newcastle (43,88) According to The Centre for Cities, Luton has the third youngest population in the UK, with an average age of 35.1 and the highest birth rate of 17.9 for every 1, residents. This is a younger population than the likes of London and Cambridge and a birth rate that is higher than the UK average (11.8). This partly explains the higher population growth projections Indicators Luton(%) East(%) Great Britain(%) All People Aged in Table 9: Population projection ( ) AREA %Growth %Active in 41 Economically Active + (Apr 17 - Mar 18) In Employment Unemployed (Model-Based) England 55,68 61,95 1% 59% Percentage of Households that are workless Luton % 63% Employed by occupation (Apr 17-Mar 18) South East 9,3 1,36 13% 58% 1 Managers, Directors & Senior Officials Source Strawberry Star Research using data from ONS (16-based subnational population projections) Professional Occupations Associate Professional & Technical Administrative & Secretarial Skilled Trades Occupations Caring, Leisure & Other Service Occupations Sales & Customer Service Occupations Process Plant & Machine Operatives Elementary Occupations No Qualifications at (17) Residence based earnings Full-Time Workers (17) Workplace based earnings Full-Time Workers (17) Jobs Density (Ratio of total jobs to population aged 16-64) Source: Strawberry Star Research using data from ONS and The centre for Cities 19

12 Impact of Government Policies First Time Buyers and Home Movers Investors Help to Buy Equity Loan: The government s helpto-buy equity loan has made it cheaper for some home buyers to get on to the property ladder in terms of the amount of deposit required. The help-to-buy scheme has contributed to the development and the sale of new build properties across England A total of 169,1 properties were sold across England under the help-to-buy scheme between quarter of 13 and quarter 1 of 18. About 81% of these properties were purchased by first time buyers Figure 15: Number of Help to Buy transactions from Q in 13 to Q4 in 17 Source Strawberry Star Research using ONS data (Number of help to buy equity loans.) In Luton, only 88 properties were sold in the same period under the help-to-buy scheme, which accounts for an average of 41% of the annual newbuild property sales from 14 to 17. Our data show a declining number of help-to-buy equity loans relative to the volume of new-build sales. The proportion of help-to-buy to the new-build sales volume has declined from 6% in 14 to 13% in 17. Flats make up only 18.4% of all the help-to-buy sales in Luton. This implies that less people use the help-to-buy scheme to buy apartments in Luton as they are more affordable than houses Stamp Duty on Additional Property: Luton is one of the most popular locations for property investors despite the introduction of higher rate tax on additional properties, the restrictions on the mortgage interest tax relief, stricter lending criteria, recent interest rate hike and the uncertainty over Brexit The increasing popularity of Luton as a hotspot for property investors is mainly due to some location based factors such as cheaper average property price, high rental values and rental growth, higher rental yield and capital appreciation. Luton investors are also taking advantage of the town s proximity to London, good infrastructure, employment cluster, increasing young population and Luton being a university town The UK pound and interest rates have been at their lowest levels despite the recent interest rate hike and the residential property investment is seen by many as less volatile and less risky compared to other asset classes with high return potential. There is also the availability of interest-only mortgages. These factors have made investment in residential property attractive to local and foreign investors with high disposable income and wealth Higher rate for additional dwelling (HRAD) data from the ONS, show that one-third of the Luton residential property purchases relates to either purchases of second homes or purchases by investors. HRAD was introduced in April 16 and applies to purchases of second homes and buy-to-let properties This is an increase of 33.3% in the total number of Luton properties purchased by investors between 16/17 and 17/18. This implies that Luton investors are not deterred by the buy-to-let policy restrictions unlike in some UK towns that have witnessed a decline of the buy-to-let property investment. The high proportion of the purchases by investors in Luton has placed Luton in the top 1 locations for property investors in the whole of England. Other locations with similar high proportion are mostly university towns Other than the foreign investors, residents from neighbouring towns are more likely to invest in a second home or buy-to-let property in Luton than Luton residents. This is because neighbouring towns such as St. Albans, Watford, Dacorum and East Hertfordshire, have significantly higher gross household disposable income per head than Luton residents and live nearer to Luton than residents from other regions Stamp Duty Tax Relief for First Time Buyers: Since the introduction of the first time buyer relief (FTBR) on stamp duty tax in November 17, eligible FTBR transaction (purchases from 15, to 5,) contributed to about 8% of all residential transactions in Luton, thereby saving first time buyers an average of,55 3% 5% % 15% 1% 5% % Because of their relatively low income, Luton residents may require the help-to-buy equity loan supported by the FTBR savings to purchase the Luon properties Table 14: First Time Buyers Relief (FTBR) transactions of 4, or above in % 1% 17% 6% 5% 8% LUTON INNER LONDON OUTER LONDON FTBR Transactions % of residential transactions since announcement ( November 17) FTBR Transactions % of residential transactions over whole Financial Year Table 15: Property Transactions Financial Year 16/17 17/18 Total additional properties transactions 84 1,1 Proportion of total residential transactions 5% 31% Source Strawberry Star Research using ONS data (Additional dwellings transactions & receipts by Local Authority) Impact of Government Policies 169,1 Number of properties sold in England under the Help to Buy Scheme from Q 13 to Q % Estimated value (aditional properties) m 17 5 proportion of new-build sales in Luton using Help to Buy from 13 to Q1 18 Source Strawberry Star Research using ONS data (First time buyers relief (FTBR) transactions of 4, or above, 17-18) 1

13 Luton Regeneration As part of a wider regeneration of the area, Luton Borough Council has launched an ambitious 1.5 billion inward investment programme aimed at completely transforming the town over the next years. Luton, working in partnership with major investors and developers on a number of schemes, including a 395-acre Enterprise Zone, is attracting attention from many businesses. Some of the regeneration highlights include Butterfield Business Park (Henry Boot Developments), the DART rail line, Sloane International luxury apartments and Power Court (British Land), as well as major upgrades to The Luton Mall, High Town area and a new football stadium. Direct Air to Rail Transit (DART) Business Park A new million Direct Air to Rail Transit system will enable passengers to travel seamlessly to and from the London Luton Airport terminal and Luton Airport Parkway station via a more sustainable and efficient means of transport. From, the service will significantly reduce the journey time from Central London to London Luton airport to about 3 minutes, making it quicker than both Stansted and Gatwick. A new industrial warehouse development is coming soon to Butterfield Business Park. The Park supports a diverse range of businesses to immediately benefit from its nationally strategic location and competitive cost base with a dynamic local economy. Luton Mall upgrade The Luton Mall is a 1 million sqft shopping centre in the heart of Luton with 1 retailers, over, employees, circa 1 million visitors and 7 million gross sales annually. A 7 million upgrade is in progress to create family zone, kids play, feast street, entrance enhancements and mall ambience. Luton Cultural Quarter (LCQ) Luton Cultural Quarter (LCQ) is a growing cluster of creative and independent businesses, arts venues, restaurants, public art and out-door events. Over the next four years Luton Culture, a local arts charity, plans to build on the town s hat-making and manufacturing heritage and create 4 sqft of new workspace for creative practitioners, artists, media companies, makers, producers and designers in the LCQ. New football stadium Luton Airport Enterprise Zone Luton Airport Enterprise Zone, around 395 acres in size, will consist of three linked sites surrounding Luton Airport: Bartlett Square, Century Park and Airport Business Park. This significant investment opportunity is being delivered by Luton Council in partnership with London Luton Airport Limited and South East Midlands Local Enterprise Partnership (SEMLEP), and will create in the region of 1, jobs. 3 New state-of-the-art stadium, Power Court, will come up in Luton town centre in addition to the 17,5 3,-seater iconic stadium to support the club s football ambitions. The million mixed-use development scheme proposals being pursued would include venues for live sport and music, further leisure alongside an appropriate scale of lifestyle retail facilities, residential apartments and other valuable amenities. High Town transformation The historic High Town area of Luton will be transformed into a vibrant neighbourhood with a complementary mix of residential, public realm, retail and commercial activities. 4

14 St Neots Luton Map - The Golden Triangle Towcester Birmingham New Street Station Bedford Cambridge Luton has the advantage of being within the Golden Triangle of Cambridge, Oxford and London, which is home to world s top universities. Banbury Buckingham Milton Keynes Letchworth Garden City Biggleswade Melbourn Cambridge Just 4 miles from Luton is the university city of Cambridge, home to more than 18, students from all walks of life and all corners of the world, over 11, staff, 31 Colleges and 15 Departments, Faculties, Schools and other institutions. There are over dozen daily bus service between Luton and Cambridge. Oxford Bicester / Bicester Villiage A418 3 mins to King s Cross St. Pancras Stevenage Bishops Stortford Oxford The collegiate research university of Oxford is just 37 miles from Luton. Home to 38 colleges with 4, students, including 11,747 undergraduates and 11,687 postgraduates, from more than 15 countries, Oxford employs in excess of 13,6 people. Daily buses connect Luton and Oxford in a journey time of 1h35m. Harlow Bicester village Didcot Watford This luxury destination, 4.6 miles from Luton, is home to more than 16 boutiques of world-famous brands, each offering exceptional value with savings of up to 6% on the recommended retail price all year round. Together with a selection of restaurants and cafés, the Village offers luxury services that include Valet Parking, Hands-free Shopping, the award-winning Bicester Visitor Centre, and onsite tax refund and money change service. Bicester Village is easily accessible from Luton with regular bus, train and taxi services. Ilford Slough Reading Windsor London Dartford Bracknell Croydon Epsom 5 6

15 Head Office Strawberry Star Unit 71, 153 Wandsworth Road, London SW8 GB T: E: info@strawberrystar.com Royal Docks 5 Tidal Basin Road London E16 1UX T: E: royaldocks@strawberrystar.com Nine Elms Sky Gardens 157 Wandsworth Road, London SW8 GB T: 37 4 E: nineelms@strawberrystar.com strawberrystargroup strawberry-star-group strawberrystar.com strawberrystar.co.uk DISCLAIMER Information in this document was compiled using data from various reliable official sources with care to give a fair description but we cannot guarantee their accuracy. Images are computer generated and are for illustrative purposes only. All development CGIs and artwork contained in this report are subject to copyright of the developer. This report is prepared for the exclusive use of the media to highlight Luton as an important housing market but does not constitute investment advice. Singapore 1 Raffles Place, #3-3A One Raffles Place Singapore T: E: singapore@strawberrystar.com