Development hotspot | Bexleyheath

A week barely goes by that one of our relationship managers isn’t out and about across the country visiting sites as our clients lay out their visions or bring that vision to life. Relationships are at the core of our approach. When we find someone we want to work with, we’re not limited by location; we follow our clients where their development goals lead them.

This means we see our fair share of different real estate markets across the UK. In this new series of articles, we’re going to lean on our knowledge of the UK, highlighting some of our top tips for development hotspots. Our first Journey is Bexleyheath, a small town in Southeast London and an up-and-coming location offering substantial opportunities for residential mixed-use projects.

We’re going to look at everything Bexleyheath has going for it as a development hotspot before looking at a development we’re currently working on with our client.

The rundown on Bexleyheath

A historic market town, Bexleyheath combines leafy suburban tranquillity with urban convenience. With a vibrant town centre and a lively retail and restaurant scene there’s still a more rural feel than more central places in London.

If you type it into Google, one of the first local landmarks you’ll see is Danson House, a restored Georgian mansion set in the picturesque Danson Park — a beautifully green spot popular for families and outdoor enthusiasts.

The area also has cultural heritage ties, notably being close to Red House in nearby Bexley, the iconic Arts and Crafts home designed by William Morris. With a blend of modern amenities, green spaces, and historic character, Bexleyheath appeals to both long-time residents and newcomers alike.

Strategic location with excellent connectivity

The area boasts exceptional transport links. Commuters can reach central London in approximately 35 minutes via direct trains to London Bridge and Cannon Street. Additionally, the nearby Abbey Wood station connects to the Elizabeth Line, providing swift access to Canary Wharf in about 12 minutes and Liverpool Street in 18 minutes.

For those looking for a home outside of the hustle and bustle of more central London locations but with good connectivity into the city, Bexleyheath is a fantastic option.

A family-friendly environment

Beyond its commuter appeal, Bexleyheath offers a suburban charm with ample green spaces close at hand. The area features a mix of housing options, from Victorian terraces to modern developments catering to diverse family needs. Local amenities, including schools, shopping centres like Broadway, and recreational facilities, contribute to its reputation as a family-friendly locale.

While you’re close to the city of London for work, a night out, entertainment and more, you’re also close to some beautiful areas in Kent, like Broadstairs and Whitstable. In this sense you’ve got the best of both worlds.

Robust property market dynamics

The property market in Bexleyheath demonstrates resilience and growth. As of early 2025, the average house price stands at approximately £408,000, marking a 3.6% increase from the previous year. Rental demand remains strong, with average monthly rents around £1,422, an increase of 9.4% from 2024.

These figures will breed confidence for developers looking for potential development sites in the area.

Opportunities for SME developers

There are many opportunities to be had for developers in Bexleyheath, particularly in refurbishing older properties into residences with all the modern amenities. The area is rich with housing stock suitable for conversion and redevelopment, aligning with permitted development rights.

In another major boon, the council’s housing strategy supports private sector involvement to increase housing supply and improve property standards, opening doors for ambitious developers to leave their mark.

VM Finance’s clients at work in Bexleyheath

We’re currently working in partnership with our client The Investment Collaboration, in Bexley Heath. The tailored funding product we delivered for them is supporting them to convert a timber-framed building into a mixed-use development that offers a brand new lease of life on the long-standing structure.

A mix of residential spaces and commercial lets, the site was previously an MOT garage. With the commercial lets located on the ground floor and seven residential units above, it’ll be a welcome addition to the highly desirable Bexleyheath location.

The bottom line

Bexleyheath's strategic location, family-friendly environment, and robust property market make it an ideal hotspot for SME developers. With supportive local policies and a demand for quality housing, the area offers fertile ground for projects that contribute to lasting community legacies.

If you’re looking for a funding package to support your next development, whether in Bexley Heath or elsewhere, contact one of our Relationship Managers today. They would love to hear about your vision.

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