Speaking at the release of Knight Frank's The Wealth Report, Liam Bailey, head of research at the property group, said that top properties in London are approaching £10,000 a square foot.This report illustrates perfectly well the capacity of the human brain to extrapolate just a few historical points into the infinite future. In addition to that, when the human brain wants to believe into something, no matter what exogenous events happen to prove it wrong, it will still believe in it and find rationalisation in order to fool itself. Of course, something like the real estate collapse of the Japan, the US, Ireland, Dubai, etc. could never happen to the UK. Because the UK is different... or is it?
He said: "Given that top properties were selling for around £1,000 a square foot around a decade ago and that those same properties could now achieve £6,000 a square foot, it's entirely possible that we will see levels approaching £10,000 soon."
This is actually scientifically proven, and for those who still haven't read it, I highly recommend the book titled Vital Lies, Simple Truths: The Psychology of Self-Deception by Daniel Goleman.