However, more recently, the more turbulent economy has heightened the issue with property professionals leaving the industry, relocating overseas or changing career path; meaning those professionals with the experience, knowledge and strong technical capabilities have seen a significant increase in demand for their skills.
When looking at the UK as a whole, it seems to be real estate professionals working in the capital who command the most attention. While the London market is indeed seeing increased transactional activity, the general economy is now predicted to grow only by 1.5% in 2014. This is instead of the 1.6%, previously predicted, decreasing as a result of the Eurozone crisis thus fueling skeptics to describe a micro market showing false rates of increase as we still continue to correlate the London market growth against the rest of the UK. However, the market also retains its optimists offering differing market opinions of continued growth, although the question remains as to if we are seeing the inflation of a bubble over Prime Central London (PCL), and if or when might it burst.
In recent years, the residential market has become an increasingly important and significant sector of the UK property industry. Previously commercially focused property firms whose work has consisted of solely commercial development and investment opportunities are now moving to capitalise from the residential sector. This is due to continually improving and favourable returns generated in comparison to its commercial counterpart, which is in part driven by high demand for residential investment opportunities within PCL, which continues to enjoy increasing interest from overseas private investors and developers.
As the residential market continues to gain confidence, the steady growth and diversification we have witnessed has naturally led to acute supply and demand issues. Though the residential sector has seen a small number of opportunities at a senior level, the increasing introduction of newly created roles we are beginning to see emerge demonstrate signs of positive growth within the sector.
In light of this improvement we are seeing a rise in enquiries from jobseekers from a commercial background that are looking to transfer their skills into residential roles. This however seems to be a difficult transition with the need for previous residential experience being paramount for employers to ensure immediate uptake within the role. This is largely due to such positions becoming available following increased headcount allowance in response to ever more work load rather than replacements for individuals vacating positions.
Activity across the first two quarters of 2013 has seen residential recruitment activity grow exponentially. This activity has certainly instilled confidence in the residential market and although we are still some way from the highs of 2007, we are certainly optimistic for the remainder of 2013 and the next decade.
Article first appeared in REurope Magazine, July/August issue.
If you are interested in residential opportunities, please contact our London head office on 020 7478 2500.