Landlords in Leicester are also set to benefit following confirmation that the local football club will finish the season as Premier League champions.
At the start of the football season, Leicester were 5000/1 outsiders to win the title. But the club’s against-all-odds success was confirmed on Monday after London rivals Chelsea and Tottenham Hotspur drew 2-2.
Winning the Premier League title has handed Leicester around £90m in prize money plus entry into the UEFA Champions’ League. This will add around £40m to the club’s bank balance – even if it exits the European competition without winning a game.
But it is not just additional TV and sponsorship revenue that is adding to the city of Leicester’s value.
Over the past five years, there has been a significant correlation between Leicester City’s success on the football pitch and the average cost of a home near the club’s King Power stadium.
In 2012 – the year Leicester City finished ninth in English football’s second tier – the average cost of a residential property in Leicester city centre was £108,758, according to the Land Registry.
The following year, when Leicester City finished sixth in the Championship, the price of property in the centre of the city climbed 0.9% to £109,789.
However, in 2014, the year Leicester City won the Championship, the average price of a home in the centre of the city hit £114,657.
That figure climbed a further 0.4% in 2015, the year Leicester City finished 14th in the Premier League, and is now £123,694 – 7.5% higher than this time last year.
Average rents in Leicester have also climbed from £421 per month in 2013 to £740 last month, according to independent sources.
And it’s not just homeowners in the East Midlands who benefit from sporting success.
When Blackburn Rovers were crowned Premiership champions in 1995, the average price of flats in the east Lancashire town jumped 362%, from £7,950 to £36,750.
Here’s hoping a London team can enjoy similar success in the 2016/17 season.
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