UK Commercial Property Update Industrial yield spreads across regions will widen further The gap between industrial property yields in the South East and the Rest of the UK has risen to a level that is 50% higher than its long-run average. This could be a sign that yields in the South... 9th April 2013 · 1 min read
UK Commercial Property Update Polarisation of the retail property market is still rising Today’s better-than-expected retail sales data will do little to halt the polarisation in values evident in the IPD retail sub-markets. Even if this is the start of a modest spending upturn, until the... 21st March 2013 · 1 min read
UK Commercial Property Update Is stagflation the next threat to property values? If growing fears of a sustained rise in inflation proved well founded, this will present another obstacle to a meaningful recovery in commercial property values. But a repeat of the 1970s experience... 14th March 2013 · 1 min read
UK Commercial Property Update What has happened to the property market cycle? The current IPF Consensus forecasts envisage that capital values will do little more than mark time for an unprecedented seven years. Yet this is not a sign that the property market cycle has been... 12th March 2013 · 1 min read
UK Commercial Property Update Do solid Q4 spending data signal a brighter retail rent outlook? The rise in real consumer spending in Q4 last year was the fifth in succession and, at face value, looks favourable for retail occupier demand. It is also encouraging that the adverse effects of... 27th February 2013 · 1 min read
UK Commercial Property Update What does the rise in bond yields mean for commercial property? The recent rises in UK bond yields have been far too small to make much of a dent in the already-high property/bond yield spread and, in any event, are likely to go into reverse. Indeed, we think that... 7th February 2013 · 1 min read
UK Commercial Property Update Finally, permission-free conversions set to be allowed Two years after the initial proposal, and having appeared to have gone cold on the idea in the meantime, the Government finally looks set to allow permission-free conversions of commercial property... 22nd January 2013 · 1 min read
UK Commercial Property Update CBI/PwC data add to positive London office news-flow Today’s CBI/PwC data add to other evidence that continued near-term gains in London City and West End office rents are more likely than not. But with the economy unlikely to grow to any meaningful... 21st January 2013 · 1 min read
UK Commercial Property Update Do recent administrations justify retail rent forecast downgrades? The recent clutch of retailer failures probably won’t be the last and they increase the downside risks to rents this year. But not all retailers are struggling and recent administrations are more... 18th January 2013 · 1 min read
UK Commercial Property Update Will we see an FLS-driven rise in commercial property lending? The problems of legacy loans, along with increased regulation, are both significant barriers to the Funding for Lending Scheme (FLS) boosting new commercial property lending. But there are signs that... 16th January 2013 · 1 min read
UK Commercial Property Update Do tenant departures signal a looming peak in West End office rents? Anecdotal evidence suggests that there has recently been a rise in the number of tenants deciding to migrate away from the West End office market because of high occupation costs. It is difficult to... 8th January 2013 · 1 min read
UK Commercial Property Update Weak economic outlook points to prolonged rental stagnation Rather than the direct measures announced (e.g. REIT changes), the more relevant aspect of the Autumn Statement for the commercial property sector was probably the confirmation that a strong economic... 11th December 2012 · 1 min read
UK Commercial Property Update South East offices: is an occupier market recovery underway? Over the past few months, the fledgling South East office occupier market recovery has continued. And given that this region has an above-average exposure to the technology sector of the economy... 22nd November 2012 · 1 min read
UK Commercial Property Update Better insolvencies data are encouraging for property yields The latest corporate insolvencies data were the best in more than four years and our GDP forecasts suggest that the worst may now have passed for business failures. This should help to ease investors’... 8th November 2012 · 1 min read
UK Commercial Property Update Leisure property to stay ahead of the pack It is no surprise to us that leisure has recently been one of the best performing segments of the commercial property market. And with consumer spending on recreational activities set to expand at a... 6th November 2012 · 1 min read
UK Commercial Property Update Income protection still problematic, but the worst may have passed The results from the latest IPD/Strutt & Parker Lease Events Review, including more break clauses being exercised and the tenant default rate rising, confirm that the past year has been another tough... 25th October 2012 · 1 min read
