Investment activity slowed over the first quarter of 2018, with both the number and value of transactions falling since the end of 2017. Nevertheless, a small increase in rents and slight fall in yields meant the pace of capital growth picked-up a bit in March. But that was not enough to push up the rate of capital value growth which was unchanged at 5.6%. Given our expectation that yields will stabilise, and that rental value growth will decline, capital value growth is expected to slow over the year.
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