With over 200,000 habitants, Luton is one of the most populous towns in the UK. It is a borough and unitary authority area of Bedfordshire, located near the River Lea, and also very close to London – precisely 50 km away. Because of its location, population and development, Luton has massive potential for real estate investment. This article will discuss more the topic, for those considering expanding their portfolio and property investment in Luton.
Luton key features
Some of the features that make Luton an extremely fertile environment for investments are:
- The London Luton Airport (LLA) – considered as one of the busiest airports in England
- The main campus of the University of Bedfordshire
- Excellent and quick link to London – and 25 minutes to London St Pancras railway station
- Close to the Luton and Dunstable Hospital – considered the best hospital in the East of England
- Strong local economy – worth £7.5 billion at the beginning of 2020
- Many Amazon warehouses, train station, a big shopping mall, several companies and services, etc.
- Growing arts, culture, heritage and leisure offerings
Luton is a place with extremely high demand for hospitality because of the strong economy and demand for contractors and corporate workers
Because of all the elements mentioned, Luton has a vast market with great potential for real estate investing.
Due to the University of Bedfordshire’s strong presence, students and staff from all over the world move to the town and rent, as well as many visiting lecturers, who often stay short term. The University is open all-year-round, and during summertime there are graduations, meaning that students’ families come to Luton from all over the world.
Also, the Amazon warehouses (and other companies’, such as Ocado) attract many qualified contractors and seasonal workers. Both are always high on demand to develop new warehouses, operation systems, and other elements of the industry.
In Luton, there are also significant, established companies such as Monarch Airlines Ltd, the SKF group (a manufacturer of general-purpose machinery), Arriva The Shires Ltd, Asda Stores Ltd, and IBC Vehicles Ltd. All of these corporations are the leading employers in the town. Besides providing jobs for permanent and temporary workers, they also hire contractor groups from other countries.
Other workplaces like TUI, Whitbread Group Plc, and temporary employment agencies require that numerous corporate workers visit Luton very often. Even the town itself, which is in constant infrastructural development, also requires many engineers from several countries in Europe.
As you can see, Luton is a place with extremely high demand for hospitality because of the strong economy and demand for contractors and corporate workers. However, the current development of the town promises to turn real estate into an even more lucrative investment.
What is happening now?
Since the LLA is one of the busiest airports of the country with growing popularity, it has been working on building another terminal. Many construction companies are also involved in the building of a new and promising train route. It will link the LLA directly to London. It will also include the construction of a new station and terminal, as well as new multi-storey parking in LLA. All of that means more flights each ear, more passenger capacity. Next to the LLA, many places are also developing, such as hotels and modern flats.
When it comes to the University of Bedfordshire, it has also been growing consistently. In 2019, a new STEM building was opened with new equipment and modern design. Besides providing current students with a fantastic experience, it attracts new students looking for a more STEM-focused education. All the improvements in the University mean more students each year and refurbishing plans for other campuses and schools – all of which make Luton more famous and attractive for the academic community.
Infrastructure-wise, many private companies are building blocks of flats and converting old homes into brand new properties. Because of that, several supermarkets are opening (another Lidl and Aldi are coming soon). Luton already has many international shops, cultural centres, restaurants with various cuisines, and other places where people can engage and embrace different cultures.
Council Plans for the Future
The current Luton development is impressive, but the plans for the future are even more. Promisingly, the council intends to reduce the town’s net carbon emissions to meet the long-term goal to be a carbon-neutral town by 2040. All the current developments in the LLA will not stop there, as there are plans for the airport to be at full capacity, providing maximum benefit to jobs and the economy.
Also, the town centre will be transformed centre with the right mix of retail, leisure and office space – this means more money spent locally, with an increased social value from the public sector and anchor institutions. Building new flats in the town centre and the surroundings is another plan.
If you would like to know more about council plans and how they work, visit this page.
Property Investment in Luton
As you could see, Luton is a wonderful place for your property investment. Currently, with strong economic growth and high education presence, as well as high demand for corporate professionals and contractor groups, the town requires immediate accommodations. Investing in Serviced Accommodations (SA) for shorter-term guests (such as corporate professionals, lecturers, and other workers) and HMOs for longer-term guests (such as students in higher education and workers) is a good plan worth considering further steps. Any way you choose, there is an ample market for every need.
We prepared a special article about HMO in Luton – click here to find out more.
Luton’s potential with our knowledge in property investment is the recipe for profitable investing and reliable income. Call us if you need advice or want to get more profits without the struggles in managing your property.