UK commercial property market remains weak outside of London
Published on
15/07/2011 09:31:43
London's commercial property market continues to surpass the
rest of the country, according to the Royal Institute of Chartered
Surveyors (RICS).
Recent research from the RICS indicates that Britain's
commercial property sector remains weak on the whole but London's
own market continues to be buoyed by rising demand for office space
and rising rents.
The RICS revealed from its survey that four per cent more
respondents across the UK expected rent income to fall rather than
increase.
RICS economist, Simon Rubinsohn, said: "Within the capital, it
is the office sector which has enjoyed the most pronounced
recovery
"There is little reason to believe that this improvement in
London will fan out to other parts of the UK."
Across Greater London, a positive balance of 18.5 per cent of
surveyors questioned was confident that there would be further rent
increases, compared to 16.5 per cent within Central London.
London estate agent Pearl & Coutts also expressed confidence
this month that the capital's commercial property boom would
continue, but admitted interest in property investment elsewhere in
Britain remains somewhat lower.
Last month, property firm Knight Frank reported an overall
increase in the value of Central London commercial property by 1.4
per cent. This should attract further foreign investment with
exchange rates encouraging investors to purchase in the UK rather
than in the US and Eurozone.