Housebuilding completions in central London are poised to hit a seven-year high of 100,000 units next year, JLL has forecast.
Price growth is expected to ease from an annual 13.7% to 8% by the end of this year and to 6% in 2015, JLL said in its latest residential research.
JLL said the number of homes under construction has reached almost 22,000 – a 15% increase on the first half of the year.
The research picks up on an emerging trend favouring “outer core” locations compared with “core” or prime central London markets in terms of price growth, sales activity, development volume and developer preferences.
Neil Chegwidden, research director in the residential team at JLL, who wrote the report, said: “The central London residential development market remains robust, underpinned by an occupational demand still unmatched by supply and continuing domestic and international interest.”