NEWPORT DEVELOPER PREDICTS SUBDUED PROPERTY MARKET IN 2019
Below is an article by Josh Morris at Insider Media published on 21st December 2018. Please click here to view the original article.
The developer behind the former Sainsbury’s site in Newport is predicting a subdued property market in 2019 after a positive 2018.
Fear Group has received some interest in the site, which is up for sale.
Demolition began on the site in March, after planners approved an amendment to existing planning permission in February.
Despite his predictions for the overall property market, an influx of new prospective purchasers following the removal of tolls on the Severn crossings could benefit Newport in particular.
Director Leon Fear told Insider: “We have received some interest in our Newport Gateway site but haven’t accepted any offer and are in no rush to sell.
“The overall landscape has changed considerably since we bought the site over eight years ago and with Brexit looming and we don’t feel the time is right to sell now and as we are under no pressure to do so we will review our options next year.
“2018 has been a positive year for us with new acquisitions made in the residential and care sectors in particular across the UK and we will be continuing this programme of buying new sites throughout 2019 regardless of the outcome of Brexit.
“In my opinion there will be some fall out in the property market which could be considerable in the next 12-24 months and we are likely to see an end to some of the very high prices paid for development sites, as in my opinion peak land value during this cycle was way surpassed during 2018.
“Opportunities will continue to come up and with the positive news of the bridge tolls having now been fully removed, South Wales in particular is set to benefit.
“We are in a good position to acquire new sites throughout the UK, and work with existing landowners to unlock sites for well thought out development in all sectors.”