Research by property consultants Cluttons and YouGov looked at the importance of connectivity for residential and commercial tenants.In a survey, 73% of people said that good connectivity is important when choosing property to rent. This means they are looking for reliable high-speed broadband and 4G mobile phone coverage.
There has been a significant increase in flexible workers who regularly work from home, and they rely on good broadband for their work. London ranks 30th out of 63 UK cities for ultra-fast broadband and is in the bottom five UK cities for 4G coverage. Around 70% of people surveyed who work from home in London at least once a week report that they are considering moving home because of poor connectivity.
John Gravett of Cluttons commented:
“While traditionally it would fall to tenants to find the best offering from broadband service providers, now landlords are realising how important it is to make sure their buildings are well connected.”
He added that 49% of landlords want to improve connectivity in their properties, and most say that this is a direct result of tenant demand.
Although residential tenants do not expect to pay more, commercial tenants pay over £4 square foot more in rent for well-connected buildings. Connectivity is the fourth most important consideration when choosing office space, after location, rent cost, and transport links.
Landlords purchasing property with a commercial mortgage may also need extra finance to improve connectivity to attract tenants, and to have an eye on future 5G connectivity.