We expect the euro-zone to fall back into recession in 2012 and 2013. We have therefore cut our commercial property forecasts to reflect the weaker economic backdrop. Over the next two years, we expect most markets to experience some renewed falls in capital values as property yields mark time, or drift a little higher and rental values drop. With returns highly dependent on income, industrial property will tend to outperform. At the country level, we think the prospects for Germany, Austria and the Netherlands are the brightest.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services