New data from a leading London property developer reveals that renters in Canary Wharf and the Isle of Dogs are turning their back on these popular areas in favour of an emerging hotspot nearby, where their money goes further when buying their first home.

Data from Fairview New Homes, the first-time buyer developer of choice, has revealed that over a third (36%) of buyers at its new development in the Royal Docks, The Silverton, have come from E14 postcodes, which includes Canary Wharf, Limehouse and the Isle of Dogs.

The average cost of a one-bedroom property in Canary Wharf is £442,300* and £445,450* in the Isle of Dogs, whilst in the Royal Docks in Newham it’s just £363,000. 

Sohail Saiyed, Sales Manager at Fairview New Homes, believes there are several factors in play which are driving renters out of these areas and into the Royal Docks, when searching for their first homes.

Saiyed said: “The current climate means buyers are naturally looking for the best value for money when it comes to buying a home, especially those looking to join the property ladder. While the Royal Docks is an emerging area and almost halfway through its major regeneration lifecycle, it’s within easy reach of so many fantastic locations that offer everything young professionals are looking for. Therefore, it’s no surprise that we’re seeing buyers from Canary Wharf, Limehouse and Isle of Dogs buying here, as for a like-for-like property they’re saving over 20%.

“Many of our buyers work in the financial and insurance sectors, but as the development is within 20 minutes of 67% of London’s jobs in these industries** and a 12-minute journey to Canary Wharf, residents don’t have to sacrifice on access to the lifestyle they’re accustomed to, or being close to work.

“Given the ongoing regeneration and huge investment in the Royal Docks, I would expect this trend to gather pace and as a result drive up house prices, meaning now is the best time to invest in the area. Due to its close proximity to Canary Wharf, I would expect the area to follow a similar trajectory to the Isle of Dogs, where house prices have risen by 82% over the last 20 years*.” 

A growing neighbourhood 

The population of the Royal Docks, Newham is anticipated to grow at pace, with a 44% increase expected within a decade** (by 2034). The area is proving particularly popular with those aged 20-29, with this demographic accounting for over half (55%) of its population**.

The area is benefiting from an £8bn regeneration project which has seen significant investment in transport links, new homes, public spaces, and commercial and cultural offerings.

The area’s regeneration plans first took flight back in 2017, and despite there being even more to come, with Sadiq Khan announcing the latest regeneration plans just seven months ago, residents are already enjoying the new found buzz of the area.

New cafes, restaurants, bars and over 150 hectares of green space - all lined in part by over three miles of the River Thames - have created a thriving new neighbourhood which is attracting groups of the capital’s younger population.

Saiyed of Fairview continues: “40% of our reservations have come from people aged 30 or under, which is a further indication of how popular this area is proving with the younger generation. It’s a neighbourhood where we’ll see young families grow and a sense of community establish itself even more in the years to come. 

“Whilst almost half (46%)** of those living in the Royal Docks are renting, almost all of our first-time buyers are 30 or younger, demonstrating that once financially able, east London’s younger generations are clearly keen to put down roots here.”