London Rules the Realty Game for GCC Investors, Even in a Rough Year
In a fresh snapshot from the UK’s oldest and most successful Islamic bank, Al Rayan Bank, London is still the go‑to spot for Gulf Cooperation Council (GCC) investors looking to put their money into property. Despite last year’s market jitters, the city’s allure hasn’t faded.
2023 GCC Investment Barometer Highlights
- Out of 150 investors surveyed (mostly from Saudi Arabia, Qatar, and the UAE) with an average net worth of $208 million, one third (33 %) purchased property in London within the past year.
- London topped other global hubs: Tokyo ($90.4 M) and Zurich ($89.7 M) were close behind.
- Across the last five years, 95 % of respondents had dabbled in the UK market, averaging a stake of $81.9 M.
- A staggering 89 % view the UK as a solid investment bet. 85 % feel more confident about the market recently, citing steady demand, solid returns, rising rent, and a wealth of asset types.
Why London Keeps Winning Hearts (and Wallets)
Maisam Fazal, Al Rayan’s Chief Commercial Officer, summed it up: “London is the sweetheart of GCC portfolios. It’s dependable, with a stable pound, booming housing demand, and clear legal ground rules. The UK’s property game is smooth, low‑stress, and profitable.”
Aneel Mussarat from MCR Property Group added, “Investment bias toward the UK isn’t about luck; it’s long‑standing ties with developers, no language hiccups, and rental rents that keep climbing.” He also noted London is just the tip of the iceberg – GCC money is spilling into other UK regions as regeneration projects light up new opportunities.
The UK’s National Treasure Continues to Appeal
- 96 % of investors are eyeing new or bigger stakes over the next five years, especially across UK regions.
- Aside from London (56 % overall), the top regional hotspots are:
- Liverpool – 34 %
- Manchester – 34 %
- Birmingham – 26 %
- Brighton – 23 %
- Newcastle – 19 %
- Within London, 55 % target Central London, with East London pulling in 32 %.
- Property types on the radar:
- Residential apartments – 59 %
- Commercial office space – 52 %
- Residential housing – 49 %
- Green vibes matter too: 58 % say access to sustainable investments boosts London’s appeal.
Al Rayan Bank’s Pitch: “We’ve Got Your Back”
Giles Cunningham, Al Rayan’s CEO, stresses, “GCC investors see the UK as bright and vibrant. We’re ready to back them with Sharia‑compliant financing, making property investment smoother than ever.”
So whether you’re eyeing a sleek London apartment or a bustling Manchester office, the GCC barometer shows the UK—rich in history, diversity, and potential—remains a kingpin in global real‑estate investing.
