Will Chipping Sodbury House Prices Increase by 25% When Waitrose Opens?
- AuthorPaul Hajek
The “Waitrose Effect” was reported in the Sunday Times a couple of years ago as the “phenomenon by which the fortunes of a suburb or town are transformed by the arrival of this particular supermarket”
The theory being that if a town and its surrounding area has a Waitrose then that is tantamount to social approval; ergo, an aspirational place to live
We posted a blog after that article was published entitled “Chipping Sodbury and the Waitrose Effect”
Latest Research by Savills, the Estate Agents
Well, now rather that a mere theory, the Sunday Times on 28th April reported on fresh research by Savills the Estate Agents which gives actual figures for house prices in areas where Waitrose has supermarkets.
House prices typically a 25% Premium Increase
Savills research shows that typically across the country house prices in postcode districts with a Waitrose are 25% higher than the country average. In London, the increase is as much as 50%. In the north of England the premium above the average is almost 33%
As you would expect there may be a “chicken and egg” effect to factor in i.e. the town or area was already affluent and so attracted Waitrose to open a store in the first place.
But, interestingly, the figures suggest that Waitrose only open in areas where prices are rising. The location of the Waitrose store “seems to signal a strong and rising housing market”
The Sunday Times mentions Chipping Sodbury along with Wells and Greenwich where new Waitrose stores will open this year.
Chipping Sodbury’s new Waitrose Store
As we reported in our updated blog Waitrose in Chipping Sodbury: What’s In It for Us planning permission was given at the end of 2011 for a Waitrose store on the edge of Chipping Sodbury.
Construction of the new Waitrose supermarket is now well under way.
Inward Investment in Chipping Sodbury?
The Sunday Times article also highlighted the impact on inward investment. It quoted Matthew Smith a senior lecturer in real estate at Birmingham University: - “other aspirational companies move in too, all offering jobs. That draws in funding and has a knock on effect on house prices”
We have been long term supporters of the Waitrose scheme and allied housing development.
It is gratifying to see that Chipping Sodbury may also enjoy an economic benefit above and beyond the opening of a new Waitrose supermarket.