The London Daily News

City News Desk

The residential market in London is set to see a record £5 billion investment from international investors according to reports in the Financial Times, sparking speculation that London could see a renewed property boom.

The target of the £5 billion investment will be high-end developments, which could lead to the building of 10,000 new homes in London.  Sites that have planning permission are likely to see their value boosted, given the advantage to developers of being able to start construction quickly.

London has been insulated from the price drops seen across the UK residential market and rents have also remained strong, with in 1 in 5 households likely to be living in rented accommodation by 2015, compared to 1 in 7 at present.