By Daniel Hunter
New analysis from Hawker Beechcraft Corporation (HBC), a world-leading manufacturer of business, special mission and trainer aircraft, has found that strong investment by overseas corporates in commercial property in the City of London has coincided with an increase in business flights into the capital.
Roughly £39 billion worth of commercial property in the City is owned by foreign investors, with German businesses the biggest foreign investors, owning around 13.5 million square feet of office space at an estimated valuation of £12 billion. This represents almost a third (31 percent) of the total overseas investment in commercial property in the City.
One aspect of London which appeals to international investors is the large number of airports servicing the city. This appears to be a significant factor for German businesses, as over the first half of 2012 Germany saw the third highest volume of business flights into the UK.
So far this year, flights from Germany have been landing in Britain at average intervals of less than every two hours. Furthermore, between 2009 and 2011, the number of business flights into the UK from Germany increased by 18.1 percent.
Other well-represented regions in the City of London include the Middle East and Ireland, whose businesses own an estimated £4.5 billion and £3 billion of commercial property there respectively. Overall, a staggering 52 percent of commercial properties in the City of London, representing 44 million square feet of office space, are owned by foreign investors.
HBC is currently the leading aircraft manufacturer in the UK, holding a 37 percent market share in the segments in which it competes, including a 54 percent market share in turboprop aircraft.
“London remains one of the biggest and most influential financial capitals in the world and it is therefore no surprise to see that commercial properties in the City are still very much sought-after by overseas businesses,” said Sean McGeough, HBC president, Europe, Middle East, Africa and Asia Pacific.
“Not only is London perfect for conducting business on a global scale, but it is also supported by a high number of business airports such as London City, Biggin Hill and Farnborough, allowing for travel into the heart of the city from continental Europe within a matter of hours.”
Join us on