Hot answers tagged

31

Historically, one reason is that the needs of "modern" banking (that which emerged during the 18th century) more-or-less required that banks were close to each other, since much of their business with each other – in particular the settling of payments by cheque – was conducted "in person". Quoting from the section 17th–19th centuries – The emergence of ...


27

In the UK, you should usually expect to pay the listed rental price - and most people, in my experience, do - but you can sometimes negotiate a lower price. The degree to which it is possible to do so depends on local levels of demand. Demand in London is usually very high so I would expect your chances of negotiating the rental price down is slim. In ...


27

The main advantage to the City of London is that all the big banks are there. So there’s a large pool of experienced employees, there are legal firms with vast experience in the banking industry, there are accountancy firms with vast experience in the banking industry, there are secure courier companies and good telecommunications and temp agencies with lots ...


15

Quite often competitors co-locate in order to increase business. Some business owners, see as it negative when a competitor moves in "across the street", but some see it as a positive. An example of this is the diamond district in NYC. People come from all over the world to buy and sell their diamonds. They do this because of selection, and the ...


11

To supplement the present answers: one important reason was to ensure that Britain's financial leaders could be summoned quickly during a crisis. That changed when the market was deregulated by Margret Thatcher. Until then the Bank of England had insisted that all of London's banks had to be within 10 minutes' walking distance of the governor's ...


8

In fact, City of London is a Tax haven as point out by article like this. It is administered by City of London Corporation and not under the jurisdiction of Greater London. This explains why even with a property price tag of £17,371 per m², there are many companies willing to pay the premium rent to open a business there. And you can bet even with all ...


7

This varies heavily depending on area and price point, but overall the current market London is heavily in favour of tenants in most areas contrary to most opinions. Current rental yields in most of London are sub 1.5% for landlords pre costs, so there is generally a lot of competition to secure good, long term tenants as it's so easy and cheap to rent for ...


6

This is not only typical for banks in London, but to other types of businesses everywhere. Similar businesses tend to stick close together, an interesting phenomenon explained in Why do competitors open their stores next to one another?, an animated lecture by Jac de Haan. Basically, if there is a physical distance between you and your competitor, then ...


6

Well, Taking a short position directly in real estate is impossible because it's not a fungible asset, so the only way to do it is to trade in its derivatives - Investment Fund Stock, indexes and commodities correlated to the real estate market (for example, materials related to construction). It's hard to find those because real estate funds usually ...


3

In short, Yes. Some things very little (groceries etc) others a lot- you can draw a map of (pint of) beer prices across the country (which is a proxy for many other things). Cinema prices also are higher.


3

While I am not an advocate of shorting anything (unlimited downside, capped upside), you can: Short real estate investors' and developers' stocks and bonds Buy CDS on RMBS backed by London properties Sell London properties if you own any Place spread bets on the house price index


1

If demand for property is strong, the landlord may not be willing to negotiate. However, that's not to say you can't get a discount, especially if demand is weak (although that might suggest the property is overpriced to start with). I've twice asked for (and been given) a lower rent and once negotiated lower agent fees. Your negotiating position will be ...


1

Having shopped in Sainsbury's in London and outside London within the same week, I can assure you that a full size Sainsbury's store in London charges more for the same goods than one outside, and that their "Local" stores charge more again. And that their prices everywhere increased shortly after the Brixit decision.


Only top voted, non community-wiki answers of a minimum length are eligible