UK Commercial Property Valuation Monitor

UK Commercial Property Valuation Monitor (Q3 24)

A rise in alternative asset yields combined with stable property yields meant valuations failed to improve in Q2. But with risk-free rates now falling back and property yields set to be flat, property...

7th August 2024 · 0 mins read

Europe Commercial Property Update

Investment turns a corner, but recovery will be uneven

The Q2 rise in euro-zone investment marks the start of the recovery, but one that will be weak and uneven across markets. Economic and political concerns means investment in Germany and France is...

7th August 2024 · 4 mins read

US Commercial Property Update

Investment recovering, but not without risks

While the UK led the recovery in investment activity in Q4 last year, the latest data suggest the US and euro-zone are now also turning a corner. But given concerns over economic growth in all three...

6th August 2024 · 4 mins read

UK Commercial Property Rapid Response

S&P Global/CIPS Construction PMI (Jul 24)

6th August 2024 · 1 min read

UK Commercial Property Update

London industrial demand will soon recover

The impact of the cost-of-living crisis, which has been weighing on London industrial take-up, has a bit further to run. But London is well-positioned to benefit from the rise in consumer spending we...

5th August 2024 · 3 mins read

Europe Commercial Property Update

Office conversion proceeding faster than expected

We have been sceptical of the viability of conversion of excess office space into residential units. But the latest figures indicate that, despite marginal financials, there may have been more...

1st August 2024 · 6 mins read

US Commercial Property Update

Elevated insurance premiums continue to hit valuations

The rise in severe weather events over the last five years has left property insurers scrambling to price-in physical risks, causing premium growth to reach a 20-year high. While we think the worst is...

31st July 2024 · 3 mins read

Europe Commercial Property Update

CBD shift clearest in the largest office markets

At the end of the pandemic, there was a view that remote working would drive a wedge between CBD and other submarket rents. The evidence of this remains uneven. But in some cities, notably Paris and...

31st July 2024 · 3 mins read

US Commercial Property Update

NCREIF Q2 data show appraisers still lagging reality

A second consecutive reduction in the size of value falls – just 1.4% q/q – in the Q2 NCREIF NPI appears to point to the price correction being all but over. However, with evidence of distress growing...

29th July 2024 · 3 mins read

UK Commercial Property Rapid Response

Lending to commercial property (Jun. 24)

Net lending to property increased for the third month in a row in June, and the rise of £1.31bn was the largest since the end of 2021. In line with last month the gain was entirely due to a rise in...

29th July 2024 · 1 min read

US Commercial Property Update

Industrial sentiment worsens in Q2 RICS survey

While headline balances saw little movement, digging deeper the Q2 RICS survey shows a reversal of last quarter’s more positive outlook. Indeed, respondents seem more downbeat, with almost half now...

25th July 2024 · 6 mins read

Europe Commercial Property Update

RICS survey sours on France, turns upbeat on values

The Q2 RICS survey showed that sentiment toward offices is improving – occupier demand balances saw the largest sectoral rise and rent and value growth expectations were raised. With year-ahead...

25th July 2024 · 4 mins read

UK Commercial Property Update

Commercial property capital values bottom out

The Q2 RICS commercial survey added to the growing body of evidence that capital values at the all-property level have now bottomed out. But, in line with our forecasts, it also implied that the...

25th July 2024 · 3 mins read

UK Commercial Property Update

Supermarket recovery delayed, but still imminent

Supermarkets struggled in 2023, as falling food sales volumes hit profits and rental growth. But the future looks brighter. As food price inflation has fallen supermarket profits have recovered and...

24th July 2024 · 3 mins read

Europe Commercial Property Update

Lending surveys point to weak recovery in transactions

Recent surveys of real estate lenders paint a picture of a European lending market that is still seized up, as loan terms tightened and credit demand fell in H1. Lenders are optimistic that demand for...

23rd July 2024 · 3 mins read