Located in Canning Town, London City Island is a premium East London development combining contemporary design, riverside ambiance, and top-tier amenities. Its appeal is enhanced by excellent connectivity to Canary Wharf and the City, making it a strong performer for rental income and investor appeal.
In early 2025, average London rental yields stood around 4.3%, with higher yields found in outer boroughs like Newham, which includes City Island, averaging close to 5.5%.
Within London City Island, given current rental rates—typically between £2,200–£3,300 pcm—and prevailing sale prices (average around £567,000), potential gross rental yields range between 5.0% and 6.0%.
A quick illustration:
£2,400 pcm (approx. £28,800 per annum) against a £500,000 purchase price yields:
(28,800 ÷ 500,000) × 100 = 5.76%
| Flat Type | Approx. Purchase Price | Estimated Rent (pcm) | Gross Yield Estimate |
|---|---|---|---|
| 1‑Bedroom | £450,000 – £500,000 | £2,250 – £2,450 | ~5.4% – 6.0% |
| 2‑Bedroom | £550,000 – £650,000 | £2,850 – £3,250 | ~5.3% – 5.9% |
| 3‑Bedroom | £675,000 – £775,000 | £3,700 – £3,950 | ~5.4% – 5.6% |
Premium Tenant Demand: Professionals and creatives seek City Island’s modern living and amenity-rich environment.
Low Vacancy and High Let Rates: Demand reduces void periods.
Capital Growth Potential: Regeneration and East London’s appeal support value appreciation.
For paring yield-generating properties to structured, compliant investments, Fraser Bond offers:
Accurate Valuation – Building-level rental and sale analytics for precise yield forecasting.
Yield Optimisation Tactics – Guidance on furnishing, lease terms, and renter responsiveness.
Full Letting & Compliance – Market placement, tenant vetting, legal tenancy setup, rent collection.
Ongoing Portfolio Management – Regular yield tracking, maintenance oversight, lease renewals—all managed and reported seamlessly.
Visit FraserBond.com to explore off-market opportunities and get a tailored yield assessment today.
