Looking for long term gain? Look to the Gun Quarter

20/1/2023

Looking for long term gain? Look to the Gun Quarter

Like the Jewellery Quarter and Digbeth before it, this previously forgotten corner of Birmingham city centre is suddenly where developers want to be. Here's why.

Established in 1630, the Gun Quarter became one of the world's great centres for the manufacture of military firearms and sporting guns. In the post-industrial decline, the district became neglected, much of it falling into disrepair.

More recently, it has seen its immediate neighbour to the west, the Jewellery Quarter, rise to become the city centre's premier residential location. Despite sharing the same red brick heritage and proximity to the city centre, the Gun Quarter never received the same attention.

Until now. As prices have risen sharply in the Jewellery Quarter, both for development plots and finished properties, developers have been buying in the Gun Quarter.

Respected developerBerkeley Group, under their brand St Joseph, set the tone for the area when they converted a disused building into individual units priced between £478,000 amd £795,000. They sold out,

Mark Lenton, Head of Asset Management at Birmingham commercial property agents KWB is an expert in the Gun Quarter, having worked in the area for twenty years. He believes that the district is set to become the city's most attractive residential area.

"The Birmingham Gun Quarter... is still largely underexploited for residential development, although it is close to the city's central business district. This is now starting to change, as developers start to appreciate the potential and location of the Gun Quarter.

"The Jewellery Quarter has undergone significant improvement over the last decade with historic buildings being converted into plush apartments, modern businesses and trendy restaurants and stylish bars. However, the Gun Quarter, including the historical buildings, has the same or more potential. I believe that we will be mentioning the Gun Quarter and the Jewellery Quarter in the same breath when it comes to city living in the next ten years."

From a investment perspective, the Gun Quarter has much to offer. Areas like the Jewellery Quarter, Manchester's Northern Quarter and London's Shoreditch have shown that property price growth in an emerging district is in line with neighbouring areas until a tipping point is reached. From there on, growth is unusually high before eventually returning to normal. It may well be that the Gun Quarter is at its own tipping point right now.