UK Commercial Property Update Lease lengths no longer a major factor for investors There was little in today’s IPD/BPF/ Strutt & Parker Lease Events Review that should be of undue concern to commercial property investors. Indeed, perhaps the most noteworthy aspect of the report was... 13th November 2014 · 1 min read
UK Commercial Property Update What do recent data tell us about short-term prospects? A range of recent data supports our forecast that commercial property capital values will continue to rise next year. Indeed, even if modestly higher interest rates in 2015 do start to push up... 30th October 2014 · 1 min read
UK Commercial Property Update Are Rest of UK office rents poised to accelerate? History shows that upswings in London and South East office rents tend to filter out pretty quickly to the rest of the country. And with the economic recovery entrenched and regional office-based jobs... 16th October 2014 · 1 min read
UK Commercial Property Update More evidence that London office rents have further to rise The results of the latest CBI/PwC Financial Services survey were positive for the commercial property market. Business activity is improving steadily and the survey suggests that Central London office... 6th October 2014 · 1 min read
UK Commercial Property Update Is this the high-water mark for the upturn? Investment market activity has recently hit record levels and the strong, yield-driven capital gains have continued. However, our sense is that yields now need to pause, giving time for the underlying... 24th September 2014 · 1 min read
UK Commercial Property Update Would a raised development pipeline knock London office rents? In mid-2010, the Central London office development pipeline underestimated eventual completions by about 25%. A repeat of that over the next few years is certainly plausible. But even if City and West... 11th September 2014 · 1 min read
UK Commercial Property Update Outlook for leisure property returns is positive The current spread between leisure yields and the all-property average is higher than normal. Combined with decent rental growth prospects, this apparent scope for leisure yields to fall suggests that... 10th September 2014 · 1 min read
UK Commercial Property Update How good are the prospects for hotel returns? The underlying operational performance of hotels is improving across the UK and this should keep investors interested in the sector. But yields are not obviously too high or too low, and domestic... 29th August 2014 · 1 min read
UK Commercial Property Update Industrial rental growth is still a long way from its peak Industrial rental value growth is already running at a faster pace than at the peak of the 2004-08 upswing. But given a favourable demand and supply balance, as well as the comparatively low level of... 26th August 2014 · 1 min read
UK Commercial Property Update Shopping centres: is investor demand at odds with rental patterns? Rental values for modern, large and regionally-dominant shopping centres have begun to recover, providing justification for the recent strength of investor demand for these properties. But even for... 20th August 2014 · 1 min read
UK Commercial Property Update The outlook for non-prime regional office returns is strong Non-prime property yields fell by more than prime in every sector in Q2, but the biggest movers were regional office markets. Even after the recent sharp falls, however, yields for lower quality Rest... 13th August 2014 · 1 min read
UK Commercial Property Update What lies ahead for capital values in H2? The balance of probability suggests that the 1.6%m/m rise in IPD all-property capital values in June will not be matched in the second half of the year. Even so, the annual growth rate is set to... 15th July 2014 · 1 min read
UK Commercial Property Update Income security measure points to drop in property risk premium The gap between reversionary potential and over-renting on existing leases is rising and this simple measure of income security suggests that risk premiums and property yields have further to fall. 10th July 2014 · 1 min read
UK Commercial Property Update Retail warehouse rents are poised to recover, but slowly The revival of housing market activity is likely to resume in the second half of the year and this shouldhelp to stimulate the retail warehouse occupier market. But given signs that rent-free periods... 8th July 2014 · 1 min read
UK Commercial Property Update Banking headcounts dip, but London office rents will grow further The tone of the latest CBI/PwC Financial Services survey was more circumspect than over the past six to 12 months, but the results were still encouraging for Central London office occupier markets... 30th June 2014 · 1 min read
UK Commercial Property Update Subdued deals data are, perversely, a positive sign The value of commercial property deals completed in the past few months has been a little subdued. But rather than pointing to a market that is losing momentum, this is simply a natural consequence of... 17th June 2014 · 1 min read