Europe Commercial Property Update Revised GDP profile adds to the downside A stronger than expected end to last year only postpones the euro-zone recession in our view. That will weigh slightly more heavily on property performance this year, as all-property rents may now... 7th February 2023 · 3 mins read
Europe Commercial Property Update Chinese tourist rebound no silver bullet for prime retail The reversal of China’s zero-COVID policy means Chinese tourists could return to European high streets sooner than expected. While this should help support occupier demand, it seems unlikely it will... 2nd February 2023 · 3 mins read
Europe Commercial Property Update German office values fall faster than after the GFC Early data indicate that German offices saw the steepest increases in yields on record in late 2022. And we think that with policy rates set to go higher, it is too early to rule out further rises in... 31st January 2023 · 3 mins read
Europe Commercial Property Update Hawkish ECB will weigh on euro-zone investment Euro-zone investment contracted sharply in Q4 2022 and we think further interest rate rises will prolong this weakness throughout much of this year. But we expect a recovery in transactions towards... 27th January 2023 · 3 mins read
Europe Commercial Property Update Retail rent outlook weak despite recent better news Since the end of last year, developments have been more positive in the retail sector. However, we still think 2023 will be a difficult year. The weak outlook for consumer spending and more spending... 25th January 2023 · 3 mins read
Europe Commercial Property Update Are we nearing a trough for Scandinavian investment? Near term economic headwinds suggest the slowdown in investment activity in Scandinavia will continue in 2023. However, with policy rates near a peak, and improving economic activity and falling bond... 23rd January 2023 · 3 mins read
Europe Commercial Property Update Office downturn underway Office markets started to lose momentum at the end of last year and the expected weakness in employment this year suggests the slowdown will continue. That said, we think prime rents will avoid falls... 17th January 2023 · 3 mins read
Europe Commercial Property Update Dutch offices unlikely to fall over EPC cliff-edge The recent commencement of stricter office EPC legislation in the Netherlands has raised concerns that Dutch office valuations may be on the edge of a regulatory precipice, given the large proportion... 13th January 2023 · 3 mins read
Europe Commercial Property Update Higher interest costs pose downside risks to values Real estate equity prices pointed to around a 10% fall in euro-zone all-property capital values in 2022 and we expect a similar size fall this year. But while the latest REIT data show landlords were... 11th January 2023 · 3 mins read
Climate Economics Update The key battlegrounds for cutting property emissions A large part of the real estate sector’s carbon footprint is related to electricity production and so will shrink over time as the use of renewables continues to expand. The biggest challenges to... 9th January 2023 · 6 mins read
Europe Commercial Property Update The key developments to look out for in 2023 The property repricing in response to higher interest rates has not yet run its course. Coupled with a recession-driven slowdown in rent growth, this means 2023 is shaping up to be another bleak year... 6th January 2023 · 3 mins read
Europe Commercial Property Update Faster adjustment in prime values to rising rates so far The latest MSCI data show that prime property values underperformed the wider market last year. But with the rest of the market more vulnerable to the economic recession and as MSCI values catch up... 5th January 2023 · 3 mins read
Europe Commercial Property Update Sharper lira correction risks stuffing Turkey rent gains Although prime property in Turkey saw strong rental gains in 2022, a slowing economy looks set to weigh on occupier demand and cause rent growth to decelerate next year. Meanwhile, the risk of a... 22nd December 2022 · 3 mins read
Europe Commercial Property Update Tech layoffs add to broader office demand concerns The impending recession will hit jobs growth across the office-based sector. But the impact on office demand is likely to be greatest in markets that have a large exposure to the tech sector. This... 21st December 2022 · 3 mins read
US Commercial Property Update The World in 2023: Property prices to plunge Property markets rebounded strongly after 2020, in part boosted by favourable structural shifts brought on by the pandemic. But they have hit the buffers in recent months. And fortunes are likely to... 15th December 2022 · 4 mins read
Europe Commercial Property Update Italian prime office rents to fall next year The sharp fall in employment we expect next year will drag on Italian office rents. While prime rents should hold up better than the wider market as the shift to the best quality space continues, we... 29th November 2022 · 3 mins read
