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Commercial Property News
Commercial property returns positive in 2009
There was a record increase in commercial property values during December 2009, according to latest Investment Property Databank (IPD) UK Monthly Index.
The final month of last year brought a 3% rise in capital growth, the largest monthly jump since the 2.9% climb that was recorded 16 years ago - breaking the 15-year high that was reached in November.
As a result, gains were up for five consecutive months, helping the values of UK business property into positive territory for 2009 as a whole.
Compound growth over the five-month period was 8.8 per cent and, for the full year, annual total returns on the Monthly Index came to 2.2% and capital growth totalled 5.6%.
The IPD described 2009 as "a year of two halves", noting that capital growth fell in the first six months as the sector struggled in the difficult economic climate, however the second half brought an easing in rental pressure, resulting in a "rapid turnaround in fortunes".
The final month of last year brought a 3% rise in capital growth, the largest monthly jump since the 2.9% climb that was recorded 16 years ago - breaking the 15-year high that was reached in November.
As a result, gains were up for five consecutive months, helping the values of UK business property into positive territory for 2009 as a whole.
Compound growth over the five-month period was 8.8 per cent and, for the full year, annual total returns on the Monthly Index came to 2.2% and capital growth totalled 5.6%.
The IPD described 2009 as "a year of two halves", noting that capital growth fell in the first six months as the sector struggled in the difficult economic climate, however the second half brought an easing in rental pressure, resulting in a "rapid turnaround in fortunes".
Mon, 18th Jan 2010