The Waitrose effect - we've all read that a branch of the upscale supermarket in your neighbourhood can help lift house prices but now new research shows an M&S nearby actually has a more positive impact.
While this article alludes to the fact that respected brands don't directly make a property nearby more valuable, the brand line-up in a High Street certainly makes an area more desirable, and therefore more appealing to buyers when they are comparing like-for-like.
The latest piece of property/retail research was undertaken in a controlled fashion, taking in 27 Hertfordshire towns. While there was a nod to High Street names that made for desirable neighbours, there was more emphasis on brands that devalued an area.
Here at London Residential we buy, sell and rent homes in a very unique market where this type of research isn't too applicable. Yes, we have an M&S and a Waitrose serving the Camden Town and Kentish Town communities, but our retail scene is powered by independent stores and businesses that reflect the area's quest for creativity and independence.
Perhaps we need to start a price index that reflects the presence of cold-brew coffee houses, craft breweries and rare-breed butchers!
‘Previous studies have highlighted the Waitrose effect, but this one indicates an overall High Street brand effect which extends well beyond Waitrose and encompasses both luxury and value brands.’ Estate agents who know their stuff not only understand that Waitrose trumps Asda and why the distinction matters, but also keep an eye out for new stores.