Higher interest rates and a weaker economic and property outlook contributed to a rise in all-property yields in Q2. While office and industrial rents still made solid gains, this increase in yields resulted in a slowdown in capital value growth. With property yields expected to rise further and rental growth forecast to drop back as economic growth decelerates, capital value growth is set to continue to slow over the rest of the year.
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