Monday 16 July 2018 5:29 pm

House prices in Bethnal Green: Shoreditch’s loss is Bethnal Green’s gain as professionals flee high house prices in E1 | City PM

There was a time when Bethnal Green lived up to its rural-sounding name.

It was actually a prosperous area in the 19th century, with large houses and gardens. Originally called Bethan Hall Green, the name was changed to align with local Cockney pronounciation which dropped the ‘h’. By the 19th century, Bethnal Green became one of the poorest parts of London and home to the world’s first council estate.

But a combination of gentrification on its borders and an influx of people wanting to live closer to the office is changing the area dramatically. “Living in Bethnal Green is now a badge of honour,” says Tom Page, manager at Fyfe Mcdade’s Shoreditch office. “Renters and buyers alike are being priced out of Shoreditch, Hoxton and London Fields and are now seeking the lower prices available in Bethnal Green and considering it as a genuine alternative.”

Once the Elizabeth Line opens up later this year, it will also be within walking distance to a high speed rail connection via Whitechapel

As a result, traditional local institutions such as the Bethnal Green Working Men’s Club and The Old Town Hall have been reborn as a trendy nightclub and five star hotel respectively. “The area has typically been the preserve of buy-to-let investors, but we’re starting to see this change as first time buyers are beginning to take the reins,” says Aki Yiasoumi, director of Hunters Bethnal Green.

As a result, there’s been demand for ex-council properties, which can attain high rental yields and decent profits with some refurbishment.

Once the Elizabeth Line opens up later this year, it will also be within walking distance to a high speed rail connection via Whitechapel.

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“As a result, house prices have quadrupled since 2000, with the average home passing the half a million pound mark in 2016,” says Aneisha Beveridge, research analyst at Hamptons International. Yet the estate agent’s figures also show that, for bigger houses and new builds, there is still growth in the Bethnal Green market. Only 21 per cent of sales were new builds last year – down from 35 per cent in 2017 – while just two properties sold for over £1m this year.

Developers are warming up to the area though. Nick Parr, residential development partner at Knight Frank, points to the redevelopment of the London Chest Hospital and the LEB Building next to the Tube as “two of the most exciting residential development projects in Tower Hamlets.”

For those with more cash to splash, look to “the Victorian townhouses in Cephas Avenue, which is part of the St Peters Conservation Area,”, says Frances Clacy, research analyst at Savills. “Meanwhile, Old Ford Road, which fronts Victoria Park and is lined with characterful period homes has also recorded seven figure sales in the last year.”

A legendary breakfast at E Pelicci’s

Area highlights

Wake up and smell the roses at Columbia Flower Market. Every Sunday, the streets teem with the cries of barrow boys and overflow with foliage. You can pick up everything here, from 10ft banana trees to the simplest of flowering shrubs. The historic Bethnal Green Working Men’s Club has been doing what it says on the tin since 1887. These days, you’re more likely to find a retro night or a burlesque show, but there are still live bands, beer on draft and it’s screening the footie this week, so some things never change. E Pelicci’s is a good example; this legendary restaurant is a family affair serving up Italian classics since 1900, but it’s also famed for its breakfasts. This Grade II Listed greasy spoon does an exemplary full English. For fine dining, head to Typing Room in the stunning Town Hall Hotel. Under the watchful eye of chef Lee Westcott, it serves up modern European cuisine and a five course tasting menu with a superbly matched wine list. For a culture fix, catch a film, a spoken word performance or art show at community arts hub Rich Mix on Bethnal Green Road.

Area guide

House prices Source: Hamptons International

DETACHED

£1.145m

SEMI

£509,240

TERRACED

£702,500

FLATS

£776,990

Transport Source: TfL

Time to Canary Wharf: 19 mins