The world of construction in London is changing rapidly in 2021. There is now evidence of future trends that likely will continue to shape the market in the years ahead. Part of this is certainly due to the recovery from the coronavirus pandemic.
During the height of the pandemic when lockdowns were frequent, construction activity in the capital dropped by more than 40%. Now, there are signs of a significant recovery with a 6% increase from last February. The number of orders have also surged in recent months with another 6% rise in new work.
In terms of areas of growth, the main rises have been in both private housing as well as private commercial properties. Many experts now believe that the construction industry is through the initial shock of the pandemic and is ready to get back to normal in London. But what will the future of construction in London look like?
A key part of plans for the industry will be the construction of new skyscrapers in London. In total, there are six skyscrapers currently planned that will dramatically reshape the London skyline. Indeed, recently, the City of London Corporation pitched a proposal and unveiled graphics of what the new skyline could look like if plans went forward.
These six main skylines are just the beginning. The group also revealed key plans for more than half a dozen projects with buildings to be designed that are all more than 75 meters tall.
This matches developments that the Planning and Transportation Committee had already laid out for the city over the last few months. Many of the new skyscrapers and tall builds will be added to the Square Mile. The easter corner is home to the city’s most famous skyscrapers and high tourist points.
No longer the most expensive place to build
It’s also interesting to note that London is no longer the most expensive place in the world to build. This is according to new research that was published by Arcadis. Their study found that London now ranks second with Geneva taking the top spot. Copenhagen is also the third most expensive place to build.
The least expensive places to build are all located in Asia.
It’s worth noting that this shows a change from last year when London did come out on top for the highest costs.
It is also one of the only major changes for the cost of construction in UK cities with very few others making any significant movements on the scale.
The report also provides further evidence that despite continuous challenges of the COVID-19 pandemic the construction industry in the capital has held up well.
A Lot More Homes
As already mentioned a key focus for construction in London over the next few years will be on new homes. Indeed, the Mayor of London’s official assessment predicts that London will need at least 66,000 new homes built every year.
It’s also key to point that the majority of these homes will be designed to be affordable. Only one-third of the homes developed will be marketed to high-income buyers and investors.
The mayor has also laid out plans for land in London that will be suitable to build 65,000 new homes every year. This is expected to be the target for new homes in London annually from 2019 onwards.
Development In The North-West
Plans are also going to move ahead for developing new housing areas in the North-West of London as part of a massive regeneration scheme.
Countryside recently gained approval for the four phases of development that they laid out for the city which includes a £161m in spending.
The new development was designed by CGL Architects and includes plans for more than 300 new homes in the Borough of Brent. The aim here is to increase affordable homes in the area from 18% to up to 40% while also providing additional levels of support to the local community.
Numerous public facilities are included in the plans such as a public plaza, gym, and health center with a key focus on wellness.
The developers have already noted that this is a tremendous milestone for the company and are keen to ensure that there is a heavy focus on community facilities in the new planned development.
These are just some of the trends that are currently shaping the future of construction in London right now. It will be interesting to see what other plans and developments come into fruition over the next few years and how construction continues to develop in the capital.