Europe Commercial Property Update The centre holds up for Paris office rents The early data indicate that Paris offices recovered last year, though much of this reflected strength in the core CBD market. With the economic background supportive and supply relatively contained... 27th January 2022 · 3 mins read
US Commercial Property Data Response NCREIF Property Index (Q4 2021) The NCREIF index saw its strongest ever quarterly price appreciation in Q4, with values up by 5.1% q/q, driving a quarterly return of 6.2%. That took annual returns to 17.7%, led by industrial, where... 26th January 2022 · 3 mins read
Japan Chart Pack Hit to output from staff absences could be hard Skyrocketing infections and a 10-day isolation requirement for close contacts of positive cases have resulted in a wave of staff absences in Japan. Domestic carmakers already struggling with chip... 24th January 2022 · 10 mins read
UK Commercial Property Chart Pack Annual property returns hit a seven-year high Commercial property ended last year strongly. Annual rental growth climbed to a five-year high, while annual total returns crossed the 20% level. This was largely the result of dynamism in industrial... 21st January 2022 · 7 mins read
UK Commercial Property Update Industrial yield falls set to slow The industrial sector had its best year in over three decades in 2021 as demand soared and supply struggled to keep up. Although we expect the sector to perform well again this year, we don’t think... 20th January 2022 · 3 mins read
US Commercial Property Update Surging incentives reveal weakness in the office market Office incentives packages rose to unprecedented levels in 2021, which supports our view that market conditions are weaker than asking rents suggest. Given our expectation that vacancy will remain... 19th January 2022 · 3 mins read
Europe Commercial Property Update ECB rate hike unlikely to move the needle for property While we now expect the ECB to start its tightening cycle earlier, we don’t think the change is significant enough to prevent further property yield compression over 2022-23, albeit at a slower pace... 18th January 2022 · 3 mins read
US Commercial Property Data Response Commercial Property Lending (Dec.) Commercial real estate debt ended 2021 with its largest monthly increase since the onset of the pandemic. Against a backdrop of strong investment activity, we expect commercial property lending to... 17th January 2022 · 2 mins read
Europe Commercial Property Update Gradual flexible office recovery underway Having been hit hard in 2020, improving economic conditions supported flexible office take-up in 2021, albeit caution and consolidation limited the net increase in space. While we expect take-up to... 17th January 2022 · 3 mins read
Europe Commercial Property Update Estimating the carbon transition risk to property values Real estate potentially has a significant role to play in helping achieve ambitious climate targets. We have estimated the size of the risks in the transition to net zero for the commercial property... 14th January 2022 · 4 mins read
UK Commercial Property Update Which assets can provide the best inflation protection? Recent data have reinforced concerns about inflation risks in the UK. We remain of the view that property investments provide only limited long-term protection against higher prices, but of the... 14th January 2022 · 3 mins read
UK Commercial Property Data Response Credit Conditions Survey (Q4 2021) The Q4 credit conditions survey suggests that, while credit conditions will remain loose, scope for lenders to absorb further increases in interest rates into their margins has run out. Drop-In: Neil... 13th January 2022 · 3 mins read
US Commercial Property Update Comparing office occupancy changes across US metros Combining the change in leased space with the rise in sublease availability gives a more complete picture of the change in demand across office metros since the onset of the pandemic. This gives a... 11th January 2022 · 3 mins read
Europe Commercial Property Update What’s in store for retail this year? An expected improvement in spending is encouraging for prime high streets this year. Nevertheless, with a growing share of retail turnover made online and city-based retail more vulnerable to remote... 10th January 2022 · 3 mins read
UK Commercial Property Update Returns to cool significantly in 2022 The performance of commercial property exceeded expectations in 2021, with a particularly strong contribution from the industrial sector. But we don’t think that this momentum will last into this year... 7th January 2022 · 3 mins read
UK Commercial Property Data Response IHS Markit/CIPS Construction PMI (Dec.) The construction PMI declined last month to end the year on a negative note, more than erasing the gain made in November. Despite tentative signs that they are starting to ease, we expect labour and... 7th January 2022 · 2 mins read
