Real estate prospects for Dundee and the north

Dundee saw a regeneration like no other in 2018. With the continuing efforts of the Waterfront project, the city has never looked better. The most notable change to the landscape is the addition of the striking Victoria & Albert (V&A) Museum. It has been a roaring success for the city already with 100,000 visitors within three weeks of opening. In addition, the city is benefiting from a brand new train station, new hotels and new restaurants. This has led an increased demand for properties in areas like Broughty Ferry, together with a general rise in average property prices in the city.

Further north, the Aberdeen bypass opened in December, which will make travel to the North easier. It is expected this will provide a boost to the housing markets following a recent downturn due to the stalling of the oil and gas industry. Even further north, plans to build the Sutherland Spaceport pick up pace despite disagreements among crofters.

We take a look at some of the most important local news stories of 2018, and look ahead to what can be expected in 2019:

January

Construction firm Carillion goes into liquidation affecting the new £745m Aberdeen bypass, delaying the spring time deadline. However, property consultants in the north are expecting to a see a boost in the housing market as a result of the completion of the bypass.

February

Independent craft brewer BrewDog announces plans to build the world’s first craft beer hotel in Aberdeenshire.

The Contract (Third Party Rights) (Scotland) Act 2017 comes into force, meaning collateral warranties are no longer needed in construction contracts.

March

The owner of Glenfiddich loses a legal battle to halt the construction of a £100m wind farm in Banffshire.

The ‘Beast from the East’ arrives in Scotland, contributing to a surge in house insurance prices, feeding in to an increase in house prices.

April

The £50m Aberdeen FC stadium wins planning permission.

May

GDPR kicks into force and businesses in Dundee and further afield seek the assistance of MacRoberts to ensure compliance with the new regulations.

Construction begins on the £32m Dundee Regional Performance Centre for Sport at Caird Park.

June

Booming Dundee port offers hope of up 7,500 jobs for locals.

A consultation on the proposed draft Land Reform (Scotland) Act 2016 (Register of Persons Holding a Controlled Interest in Land) (Scotland) Regulations opens.

July

Plans for Sutherland Spaceport are announced.

The Trump Organisation announces its intention to spend £150m building 550 homes and cottages in Aberdeenshire.

The new £38m Dundee train station officially opens to the public.

August

The publication of the UK House Price Index shows the average price of a property in Scotland has risen more this year than rest of the UK.

September

Two huge cruise ships dock in Dundee, bringing 1,000 passengers as the city becomes one of the fastest growing cruise ports.

The V&A opens, with house prices in Dundee jumping by 5.7% in the year preceding the opening of the museum. Dundee remains one of the cheapest places in Scotland to buy a house with the average house price at £141,000 compared with £169,000 nationally.

October

MacRoberts celebrates five years in Dundee.

The Scottish Government pledges £200m for Tay Cities Region Deal. The Tay Cities Region includes Dundee, Perth, Angus and the north of Fife. The UK Government pledges £150m.

November

Michelin announces closure for 2020.

The £350m Tay Cities Deal is signed and expected to fund more than 20 major projects and create over 6,000 jobs across Tayside and Fife.

Armistice Day Centenary commemorations take place throughout Dundee and the north.

A new £20m hotel is set to make the former Robinson’s furniture store its home, and set to the be first BOHO Hotel ever.

December & beyond

Businesses throughout Dundee and the North of Scotland ramp up efforts to close deals prior to the Christmas slump.

Looking ahead to 2019, Brexit remains the greatest uncertainty but house prices are predicted to continue to rise due to lack of supply. The Real Estate team in Dundee expects to be busy with transactions in Dundee and further north. With house prices in the city, and in Scotland generally, generally on the up, now is a good time to invest in property.

The Tay Cities Deal will help the region continue to grow and provide a solid economic and cultural foundation which will continue to benefit the whole of Scotland over the next 10-15 years. It is yet to be seen whether or not this funding can contribute towards saving the Michelin factory and what the future holds for its employees.

The waterfront regeneration is set to continue with new structures going up all the time. The city will hope to see high numbers of tourists, and increase in jobs and businesses, and finally continued growth in the housing market in 2019.

This article was co-authored by Laura Roddy.

Real Estate

Our expert team has not only the specialist legal knowledge required to assist our clients, but also sector experience and practical know-how acquired through years of working in Real Estate, on a wide variety of high profile projects.

Latest updates from @MacRoberts