Europe Commercial Property Outlook Europe Commercial Property Outlook: Higher interest rates weaken the recovery Following upward revisions to our forecasts for policy rates and bond yields, we have raised our forecasts for prime property yields in Europe and now expect increases of around 20-25bps by the end of... 27th March 2025 · 28 mins read
Europe Commercial Property Outlook Rental growth the key driver of the property recovery The recovery in property values is underway. But we think it will be a weak one, even though several European central banks, including the ECB, are forecast to cut interest rates to a lower level than... 12th December 2024 · 27 mins read
Event CRE Drop-In: The residential outlook – Europe vs the US and the case for outperformance 1731423600 Residential’s growing share of investor portfolios speaks to the buzz around its potential to keep providing outsized returns. But will residential continue to deliver?
Europe Commercial Property Outlook Industrial to outperform as muted recovery gets underway After two disappointing years, commercial property values have stabilised. However, the recovery is set to be weak. We think yield falls in the coming years will be small compared to previous... 23rd September 2024 · 28 mins read
Europe Commercial Property Outlook End of the correction in sight, but outlook remains gloomy The price correction showed signs of stabilisation in early 2024, but we think further, albeit much smaller, value falls are to come as yields edge a bit higher. Values should bottom by year-end, but... 13th June 2024 · 32 mins read
Europe Commercial Property Outlook Further value falls to come, but should reach trough in H2 Further near-term yield rises will push property values lower in the coming quarters, but better valuations, falling interest rates and improving economic activity suggest a trough should be reached... 21st March 2024 · 31 mins read
Europe Commercial Property Outlook Too early to call the bottom, with offices set for more pain A weak economic outlook underpins our view that prime rent growth will continue to slow in Europe next year. At the same time, valuations remain stretched and the pace of recent yield rises suggests... 8th December 2023 · 35 mins read
Europe Commercial Property Outlook Decline in values to match GFC; offices fare worst With economic activity weakening, we expect rental growth to continue trending downwards over the next year. At the same time, valuations remain stretched despite property yields continuing to rise at... 4th October 2023 · 36 mins read
Europe Commercial Property Outlook Price falls slowing but poor rent outlook to drag on recovery The slowdown in rent growth at the start of this year is likely to persist given the weak economic backdrop. And although the property price correction has slowed, we think stretched valuations will... 3rd July 2023 · 35 mins read
Europe Commercial Property Outlook Slower yield rises but values to fall further as rents stagnate With valuations still highly stretched and rent growth likely to slow as the region falls into recession, we think capital values will fall further in 2023. While the 4.5% decline forecast at the all... 24th March 2023 · 3 mins read
Europe Commercial Property Outlook Values to fall sharply as yields rise and recession hits Higher interest rates have already resulted in a sharp property repricing in 2022. And with valuations still highly stretched and rental prospects weaker given the imminent recession, we think values... 9th December 2022 · 33 mins read
Europe Commercial Property Outlook Mild correction, but soaring inflation poses downside risks The economic backdrop has deteriorated, with the euro-zone set to enter recession this year, while inflation has continued to beat expectations. This will weigh on property demand across all sectors... 16th September 2022 · 33 mins read
Europe Commercial Property Outlook Rising interest rates to speed up property correction The weaker economic outlook and larger increases in interest rates are expected to weigh on property performance. With valuations under increasing pressure from sharply rising bond yields, we think... 23rd June 2022 · 31 mins read
Europe Commercial Property Outlook War in Ukraine adds to uncertainty; retail most at risk While the direct impact of the war in Ukraine is likely to be small, we think there will be indirect consequences for euro-zone commercial property markets. Economic growth is expected to be slower... 18th March 2022 · 31 mins read
Europe Commercial Property Outlook Omicron poses near-term downside risk to property recovery The near-term economic outlook has weakened, with the Omicron variant posing further downside risk. Meanwhile, inflation is likely to be higher for longer. However, we expect it to fall back by 2023... 9th December 2021 · 30 mins read
Europe Commercial Property Outlook Sector fortunes to shift While the Delta variant has slowed economic activity in other parts of the world, this has not yet been the case in the euro-zone, and we are cautiously optimistic that the bloc will continue to grow... 16th September 2021 · 31 mins read
