Filtered by Subscriptions: Europe Commercial Property Use setting Europe Commercial Property
The first European investment data for Q3 show that volumes were down sharply compared to the same quarter a year ago. But that was driven by subdued activity in the UK which, being one of the most traded commercial property markets in the region, had a …
18th October 2016
A sharp decline in prime Madrid office yields has fully closed the spread over Milan for just the third time since 1991. With a stronger economic outlook, we think investors will continue to favour Madrid, pushing the city’s yield premium to Milan further …
13th October 2016
The Norwegian consumer sector has been resilient in the face of the most recent economic slowdown. Additionally, retail sales in Oslo have outperformed the national average and will support strong retailer demand in the coming years. This will see prime …
12th October 2016
Uncertainty ahead of the UK’s vote to leave the EU is likely to explain, at least in part, the easing of office take-up in Dublin in H1. But with an expected slowdown in job creation likely to dampen take-up volumes in the years ahead, we expect prime …
7th October 2016
The current sweet spot for Prague office occupier demand isn’t likely to last for long. Next year will see vast levels of new completions alongside a slowdown in demand growth. Nevertheless, we expect capital values to be driven up by 14% by the end of …
6th October 2016
A solid and strengthening outlook for the Polish consumer sector will keep demand for prime retail units buoyant over the next couple of years. This will enable prime retail rents in Warsaw to grow by 4.5% between the end of Q2 2016 and Q4 2017. … Warsaw …
3rd October 2016
A subdued outlook for consumption and a large pipeline of new retail developments will mean that rental values in Brussels stagnate next year. But for the first time in at least 15 years, limited new retail space in Antwerp, alongside its popularity among …
30th September 2016
The decision by Moody’s to downgrade Turkey’s credit rating to non-investment grade comes at a time when investment in Turkish commercial property is struggling. Given a worsening economic and political outlook, we expect lower rents and rising yields to …
29th September 2016
After dipping in the second half of 2015, prime office rents in Vienna rebounded over the first six months of this year. With a tight supply side and relatively good employment growth prospects, we think prime rents will continue to move higher. … …
26th September 2016
Buoyant occupier demand for logistics space in Sweden is being met by above-average levels of new supply. However, prime industrial rents in Stockholm will be driven upward as conversion of existing stock to residential use reduces the effective …
23rd September 2016
Relative to other European cities, property valuations in Dublin are edging towards being overvalued. Nonetheless, while there seems to be little scope for further significant falls, with good rental growth prospects over the next few quarters, prime …
20th September 2016
Investment demand for Finnish property in H1 more than matched that seen in H1 2015 as Nordic investors and German funds targeted its higher income yields. We think this demand will keep investment volumes strong in the remainder of 2016 pushing the yield …
16th September 2016
With the exception of Berlin, prime retail rents in Germany’s four main cities have stagnated over the past year or so. But with a healthy economic outlook, we do not think that this is a sign that prime rents have hit a ceiling. … Outlook for German …
15th September 2016
The UK’s decision to leave the EU has weakened the economic outlook for the euro-zone and increased expectations that the ECB will keep monetary policy looser for longer. While slower economic growth is negative for the property rental outlook, the …
9th September 2016
In the wake of the UK’s vote to leave the EU, central banks have signalled a looser monetary policy stance ahead. Nevertheless, we expect economic growth to be weaker, which has led us to reduce our rental growth forecasts in most markets. But, looser …
Despite a slowdown in Spain’s economic recovery, growth is still expected to be healthy, providing a positive backdrop for industrial rental growth in Barcelona and Madrid. And with industrial pricing appearing far from stretched, investor interest is …
2nd September 2016
In the first half of 2016, prime office rental values in Paris have already matched the full year increase predicted by the IPF consensus forecasts. With take-up strong and a limited supply of quality space in central areas, we think that rental growth is …
1st September 2016
Stronger economic growth in Q2 helped to prevent further falls in the majority of prime retail and industrial rents across the central and eastern European region. Rents may, therefore, have found a floor. At the same time, investment activity rose, with …
26th August 2016
All-property euro-zone rental values increased by 0.9% q/q in Q2, up from 0.4% q/q in Q1, as office rents rose at the fastest quarterly rate since the financial crisis. At the same time, yields fell for the sixteenth consecutive quarter and have now …
Property yields fell again in Q2 as demand for prime property remained strong. But, with mostbond yields falling in the second quarter, property still looks fairly valued. … Lower bond yields counteract falling property …
19th August 2016
With Lisbon office and retail valuations looking increasingly stretched, and periodic spikes in Portuguese government bond yields, the risks to property market pricing appear to be on the rise. … Should investors be concerned about Lisbon …
17th August 2016
The acute phase of Russia’s latest economic crisis now appears to be behind it. However, the prospect of only a weak economic recovery means that a strong rebound of the Moscow commercial property market appears unlikely. … Moscow property about to turn a …
11th August 2016
Fund managers have reported that they are lowering their return targets in response to the lower interest rate environment and increased competition for commercial property assets. This suggests that they will be willing to pay lower yields than would …
8th August 2016
With heightened uncertainty stemming from last month’s failed coup attempt in Turkey, a slowdown in economic growth and further weakness in the lira will put downward pressure on prime Istanbul retail rents (in US dollar terms) over the second half of the …
4th August 2016
French GDP growth slowed markedly in Q2 and is set to be anaemic over the next few years. But, H1 2016 has seen a surge in office investment activity in La Défense, reflecting growing confidence in the wider Paris office market as the supply overhang …
2nd August 2016
After several years of virtually no development, Dublin office space is set to rise by around 12% of current stock over the next few years. However, in the absence of a sharp slowdown in occupier demand, supply will remain tight, supporting further rental …
29th July 2016
Stockholm office valuations have improved since the end of the first quarter. Additionally, set against relatively mediocre rental growth in many European office markets, Stockholm’s solid growth outlook means that it should be enticing to investors. … …
28th July 2016
Investment sentiment toward European commercial property generally remains upbeat according to the RICS Q2 global commercial property survey. While confidence in Hungary jumped again, sentiment has moderated in number of markets, with Ireland suffering in …
27th July 2016
A prolonged period of looser monetary policy in the wake of Brexit will mean that prime European commercial property capital values will surpass our previous forecasts, despite weaker rental growth. … How does Brexit affect our European commercial …
25th July 2016
On first sight, European investment turnover in H1 was weaker than in the same period in 2015. However, removing the UK from the analysis means that activity has actually ticked up slightly compared to last year. We expect some diversion of capital from …
19th July 2016
Lower risk free rates and a relatively strong economy mean that prime property yields in Germany are set to fall even further in the wake of Brexit. While other markets will also see lower property yields, country-specific risks will lead to a growing …
18th July 2016
As in core Europe, bond yields in the CEE region have fallen indiscriminately in the aftermath of the Brexit vote. This will mean that, whilst economic growth will be a touch weaker, in the long-run prime property yields for much of the region are likely …
15th July 2016
Office rental growth in Italy is set to be negatively affected by a slowdown in the Italian economy, including weaker employment growth. And coupled with political uncertainty, the office market looks increasingly susceptible to a deterioration in …
13th July 2016
After a solid start to the year, Nordic transaction volumes now need only to equal those from the same period last year to set a new annual record. With concerns over UK pricing in the wake of the Brexit vote likely to drive additional capital to the …
7th July 2016
Economic uncertainty and lower business and consumer confidence resulting from Brexit are likely to weigh on German GDP growth over the coming 18 months, leading to slower industrial rental growth. Nonetheless, we think investor demand will remain strong, …
6th July 2016
The commercial construction PMI fell to its lowest level since mid-2009 in June. This highlights the extent to which the uncertainty around the EU referendum was weighing on developers’ activity. The result of the referendum would have done little to …
4th July 2016
The UK’s vote to leave the EU has increased the risk of financial sector jobs moving from London to cities such as Dublin, Frankfurt or Paris. Given existing vacancy levels and near-term pipelines, only Paris has the scope to absorb a significant increase …
1st July 2016
We do not see the UK’s vote to leave the EU as having a major effect on the CEE economies and property markets. Indeed, with Hungary likely to be buoyed by a second ratings upgrade later this year, we believe that Budapest office capital values could rise …
29th June 2016
The UK’s decision to leave the EU is unlikely to cause a significant decline in aggregate investment activity in continental Europe. However, it could boost investor demand for commercial property in core European cities, at the expense of periphery …
24th June 2016
Prime retail rents in Athens moved sharply higher in the first quarter. However, a weak economic environment will limit further upside, while also keeping industrial and office rents in check. … Rise in Athens retail rents doesn’t signal a wider market …
23rd June 2016
Decent economic growth in the Netherlands in the next few years will support office occupier demand. Coupled with low availability for modern space this means that, rather than acting as a brake on rental growth, new completions in the Zuidas (CBD) …
22nd June 2016
Prime retail rents in Bucharest have, so far, failed to benefit from the surge in retail sales. But with a robust economic outlook and international retailers increasingly attracted to city, we expect rents to pick up in the second half of the year. … …
20th June 2016
Copenhagen industrial yields have lagged behind the falls seen in the other sectors, as well as those seen for industrial assets in other cities. However, with the occupier market outlook now much improved, in the next three years we believe Copenhagen …
17th June 2016
Spain’s recovery has underpinned rising office rents in Barcelona and Madrid. But with the economy losing steam, we expect weaker employment growth to moderate the pace of office rental growth. … Slower employment gains to weigh on Spanish office rental …
15th June 2016
Retail rents in Milan and Rome rose sharply last year. But a slowdown in the Italian economy and consumer spending growth over the coming years will mean that rental growth now eases back. … Retail rental growth to cool in …
10th June 2016
Even with already low commercial property yields, the low interest rate environment means that commercial property will remain attractive for investors. We expect further yield declines to drive capital values higher over the next couple of years, albeit …
7th June 2016
In the absence of particularly enticing prospects for alternative asset classes, demand for prime commercial property will be strong for at least the next two to three years. This has meant that we have again lowered our yield forecasts for the 2016-18 …
Office values in Germany’s four main cities have risen sharply in recent years. But a strong occupier market suggests that valuations aren’t excessively stretched. Furthermore, with a positive outlook, we think there is scope for capital values to move …
26th May 2016
The decline in prime Dublin office yields towards pre-crisis levels raises the question of whether they have again fallen too far? But with a positive rental growth outlook and risk-free rates at record lows, it is far from clear that Dublin offices are …
24th May 2016
The start to the year has seen a slight easing of economic growth in much of the region, in part due to a rise in uncertainty. This caused investment activity to fall back significantly and rental value growth to be limited to a handful of markets in all …
20th May 2016
