No, no, it doesn’t

Living near a Waitrose ‘puts £38k on value of your home’
Study by Lloyds Bank finds proximity to upmarket supermarket branch can signifcantly add to property’s value, but living next to an Aldi can take off almost £6,000

Causality runs the other way. Waitrose puts its shops where houses are expensive….

19 thoughts on “No, no, it doesn’t”

  1. Yes, rubbish study, should have looked at before and after prices.

    However, it still might be true. A Waitrose has just opened up near my house. In a year or so I’ll know whether it’s raised house prices.

  2. I think that Waitrose do a survey of the area where they put their stores, looking at various factors, amongst others, the number of white vans parked v Germany luxury sedans.

  3. My local supermarkets- all clustered together- are Iceland, Aldi and Farmfoods. Can you guess my social class?

    If I want to go on a long walk, I can choose from in one direction Sainsburys/Lidl and in the other Waitrose/Asda.

  4. “My local supermarkets- all clustered together- are Iceland, Aldi and Farmfoods. Can you guess my social class?”

    Low perchance? But Lidl should be grouped with Iceland etc. Or is it the new middle-class-Guardian-cheap chain?. I don’t know because my social class is also low.

  5. Yes, so far as I can tell Lidl is where you go when you’re slumming it from Sainsburys. They’re definitely aiming themselves above Aldi.

  6. The article argues that Clifton in Bristol has a premium because it has a Waitrose and M&S. Er no, Clifton has a premium because it is Clifton.

  7. In defence of the study, could it work as a signal? If you don’t know an area well, the presence of a WAitrose would confirm what sort of neighbours you’d have, and make you prepared to pay a higher price. (Yes, I am assuming we’re all snobs if we can afford to be.)

  8. Have they calculated the price premium for houses near an upper-class supermarket like Fortnum & Mason?

  9. So Much for Subtlety

    Rob – “What premium does Poundland add?”

    Causation is always hard, but I bet that local residents fight new Poundland shops a lot more often and a lot harder than they do the occasional Waitrose

  10. Bloke in Costa RIca

    Iceland are doing a pack of nine Warburton’s crumpets for £1. The Sainsbury’s down near the seafront has shite stocking levels and eye-watering prices. Iceland for the win.

    (I am pro tem back in Blighty).

  11. “Sainsbury’s ….. shite stocking levels”

    Yes. Can you tell my wife?

    Despite an excellent choice in every direction, I often use Sainsbury’s, pretending to myself that it’s the most convenient. Then I have to go somewhere else as well, vowing never to darken its door again.

    And, despite the price war, it’s still more expensive. It’s some sort of ground-in snobbery I admit it.

  12. BICR

    “Iceland are doing a pack of nine Warburton’s crumpets for £1. The Sainsbury’s down near the seafront has shite stocking levels and eye-watering prices. Iceland for the win.”

    But surely if Iceland is going gangbusters you’d say “I ain’t buying there.” Your approach is
    like saying “let’s buy in Dover and Great Yarmouth. And all the depressed seaside towns that UKIP like. Never ever buy in prosperous areas like London. Buy in shit areas with no jobs and old poor racist people. That’s the way to make money.”

  13. @ Jack C
    It is not just stocking levels – it is what they stock. My wife likes some of Sainsbury’s vegetarian ready meals and will periodically drive over to shop there, whereas I will two or three tims a month walk to the next town to shop at Waitrose.

  14. Well, my local shops are all small – Sainsbury, Iceland and Co-op.

    There is an Asda and two Tesco’s in the nearest town, and Asda, Sainsbury, Waitrose and Tesco in the next nearest.

    We rarely go to the Waitrose because the car-park is almost impossible to get in to although only it (and M&S) seem to do Tewkesbury mustard.

  15. @luke – “In defence of the study, could it work as a signal? If you don’t know an area well, the presence of a WAitrose would confirm what sort of neighbours you’d have, and make you prepared to pay a higher price.” – only very marginally, the price of the houses is far far away the biggest indicator, and the buyers are very very aware of what you can get for how much and where, eg: that they can (say) afford only a small third bedroom in this street, but will get a bigger third bedroom on the other side of the main road. Believe me, buyers don’t need extra signals, the house prices already tell everything.

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