The Brexit Effect on The Commercial Property Market

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The Brexit Effect on The Commercial Property Market

  • 8th April 2017

brexit effect on commerical property in the uk

23rd June 2016 is still a very recent memory – the vote on whether to stay or leave the EU was a close-run contest. Whilst the leave vote won, the triggering of Article 50 happened only recently and is set to cause quite a bit of change.

Commercial property is also expected to be hit by Brexit – but how? And what should you do? Here at RTC business park, we talk you through the effect

Buying Commercial Property After Brexit

The Brexit vote did impact on the commercial and domestic property market but not to the extent that many people thought it would. Commercial property prices did fall but it was not as disastrous as predicted. The commercial market has rallied in recent months too with some experts suggesting that the weaker sterling could lead to more overseas investment.


This should rally the market, keeping it buoyant in the shape of any Brexit adversity.

The Brexit Effect On The Commercial Property Rental Market

Rents by and large have remained stable since the announcement of the Brexit vote and the triggering of Article 50.

Pundits expect rents to remain stable throughout the process although overseas buyers snapping up commercial properties cold push rents higher.

For those currently renting their work premises, the uncertainty is still very apparent and this is the main issue with Brexit within the business world.

Risk and Uncertainty

And it is these two issues that walk hand in hand that led many people to believe will be the main impact of Brexit on the commercial property market.

There is a lot of uncertainty surrounding our exit from the EU, how things will be handled what the Brexit effect on the commercial property market will actually be. Whilst some people welcome the move, there is a fear of the ‘unknown’ although some people say, ‘we survived before, we can do the same now’.

In terms of commercial property and business, this degree of uncertainty means risk – should I buy and hope prices increase so I make a big profit? Or will interest rates climb so high and so fast that they take your business out. Is renting the only option that is risk-free or could rents also go sky high with foreign investors snapping up the cheaper commercial property?

Knowing which way to turn and what action to take is difficult. But there are few doubts that commercial property in Derby will remain competitively priced and the ideal location for your business.


Visit RTC Business Park to find out more today.