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How pandemic changes will affect European cities

Europeans are returning to cities, though the return to offices has been much slower and this has had negative effects on city retail. Looking ahead, weaker demand for office and retail will weigh on performance in cities with large concentrations of these assets. However, prospects are better for cities that are attractive to more than just workers and that can fill the gap left by excess office and retail with other property types where the outlook is more positive. The cities which we think will perform best in the coming years as a result are Stockholm, Paris and Berlin. In view of the wider interest, we are also sending this European Commercial Property Focus to clients of our UK Commercial Property service & UK Housing service.

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