Over the next few years, a gradual recovery in economic activity should support rising occupier demand and rental values in most non-euro-zone European commercial property markets. But with high levels of spare capacity still evident in many markets, that recovery in rental values may be slow to gather momentum in both Western and Emerging European markets. However, property yields in Emerging markets look less vulnerable to a rise in risk-free rates than do markets in the West. Therefore, our forecasts envisage that the medium term outlook for capital values and total returns will typically be a little stronger in Emerging Europe than in Scandinavia or Switzerland.
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 gain:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services