The UK super prime residential market, particularly in central London, is still robust, according to the latest report from real estate specialists Knight Frank, as illustrated by the recent £100 million ($195 million) sale of a house in Kensington.

In this sector of the market supply is still restricted and purchasers are prepared to pay what it takes to secure these prime properties, the firm asserts. It accordingly believes that fears regarding the flight of “non doms” have turned out not to be as serious as predicted so far. 

In the rest of the UK market, the firm says there is more pain to come and that 2009 will only show a modest improvement. “Deals are happening but only where purchasers don't overplay their hand and where vendors accept reality,” the firm says.