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Commercial Property News
Pub commercial property recovery 'a year away'
It will be over a year before commercial property prices in the pub sector begin to recover, it has been suggested.
According to senior partner at A W Gore & Co Roger Thomson, values will not start to go up until "the spring of 2011".
"I should think this time next year things might get a bit better," he remarked, adding that a victory for the Conservative Party at the general election this year will be favourable for the pub industry, something that could help push prices of pubs up.
Mr Thomson noted that sales of such business property will not increase until lending becomes easier to obtain, noting that there are currently very few buyers that want to invest in these businesses.
A recent Christie & Co report put the price decrease of pub real estate over 2009 at 20.1 per cent, but Mr Thomson said it is likely that this was a conservative estimate.
"I would say it is probably about a 25 per cent [fall]," he concluded.
According to senior partner at A W Gore & Co Roger Thomson, values will not start to go up until "the spring of 2011".
"I should think this time next year things might get a bit better," he remarked, adding that a victory for the Conservative Party at the general election this year will be favourable for the pub industry, something that could help push prices of pubs up.
Mr Thomson noted that sales of such business property will not increase until lending becomes easier to obtain, noting that there are currently very few buyers that want to invest in these businesses.
A recent Christie & Co report put the price decrease of pub real estate over 2009 at 20.1 per cent, but Mr Thomson said it is likely that this was a conservative estimate.
"I would say it is probably about a 25 per cent [fall]," he concluded.
Tue, 19th Jan 2010