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Commercial Property News
Prime commercial property returns 'to exceed other assets'
Those who invest in prime commercial property this year will receive returns exceeding those generated by many other asset classes, it has been suggested.
According to the Financial Times, strong demand in the market for investors will help prices bounce back from the lows that were hit during the economic downturn.
Citing a report from Colliers CRE revealing that business property in the West End of London will give total returns exceeding 20% during 2010, the news source noted that the real estate market has "turned sharply" over the past 12 months.
In March of 2009, buyers were "reeling" after over 40% was wiped off the values of some properties, it observed.
CB Richard Ellis also has a positive outlook on some aspects of the commercial property sector, with the Financial Times noting that a separate study from this firm has predicted that retail real estate will deliver total returns of around 17.5%.
Last month, a poll of financial advisers conducted by NMG Research showed that the majority expect the value of commercial property to rise in the next 12 months.
According to the Financial Times, strong demand in the market for investors will help prices bounce back from the lows that were hit during the economic downturn.
Citing a report from Colliers CRE revealing that business property in the West End of London will give total returns exceeding 20% during 2010, the news source noted that the real estate market has "turned sharply" over the past 12 months.
In March of 2009, buyers were "reeling" after over 40% was wiped off the values of some properties, it observed.
CB Richard Ellis also has a positive outlook on some aspects of the commercial property sector, with the Financial Times noting that a separate study from this firm has predicted that retail real estate will deliver total returns of around 17.5%.
Last month, a poll of financial advisers conducted by NMG Research showed that the majority expect the value of commercial property to rise in the next 12 months.
Tue, 9th Mar 2010