15th May 2015
Having a roof terrace or a balcony adds an average of 12% to the value of a flat, according to research by London estate agents Marsh & Parsons.
With the weather heating up and the RHS Chelsea Flower Show starting next Tuesday (19th May), many homeowners’ – and potential purchasers’ – attention turns to how to make the most of the outdoor space their property contains.
But while not all properties in central London have their own garden, access to a roof terrace, balcony or communal garden can be just as desirable to homebuyers.
Marsh & Parsons’ research found that a property featuring a roof terrace or balcony typically adds 12% to the value of a property, rising to as much as 25% in the coveted area of Chelsea.
Access to a communal garden commands an 11% premium on average, and as much as 20% in the sought-after neighbourhoods of Little Venice and Holland Park.
David Pittman, Associate Director and Sales Manager for Marsh & Parsons in Holland Park, said:
“As the mercury rises, Londoners don’t want to be cooped up inside and want to be able to feel the wind in their hair. For the right buyer, a balcony or more particularly a roof terrace, will add significant value to a property in the area. Some of the more petite family houses have roof terraces in place of a garden and in these cases value will be increased by approximately 10% more than the same property without any outside space. Having direct access to one of W11’s wonderfully desirable communal gardens can increase a property’s value by 20% or significantly more.”
Marsh & Parsons currently estimate that just under a third of flats that come on to the market have a balcony, roof terrace or communal garden. They say that these properties attract much more interest – and sell faster – than equivalent properties with no outdoor space.
It has also calculated that the average price per square foot of outdoor space in the capital is £897, soaring to more than double that (£1,925) in sought-after South Kensington.
Peter Rollings, CEO of Marsh & Parsons, said:
“As a nation we love our gardens and the Chelsea Flower Show has green-fingered enthusiasts across the country looking on in envy. But with outdoor space at a premium in the capital, not all properties have their own gardens, so roof terraces, balconies and communal green areas can be just as important to buyers looking to unwind in the open air. Vendors have long been aware of how much value traditional home improvements such as a new kitchen or bathroom can add to a property and this research may just persuade them to covert flat roofs or balconies into habitable outdoor oases.”