The outlook for most commercial property sectors was already fragile and this has only been dampened by the second lockdown. Although transactions are set to pick up next year, we think property yields will edge higher and that all-property rents and capital values will decline further. Even as the recovery arrives during 2022, it will be unspectacular, with office and retail performance undermined by ongoing structural change. Only industrial property emerges from the pandemic in better shape, topping the rankings for returns over a five-year horizon.
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