The Latest Updates For The Commercial Property Market In The UK
Just like the weather, the commercial property market can change rapidly, but like the weather itself one thing is for certain, the prediction is never completely correct, and the markets can often go against what many ‘experts’ think it will do. After the vote on Brexit last year, experts predicted that the commercial property markets descent into disarray would harm it for a long time to come and extremely badly. As deals were falling through, and investment values fell, it seemed the beginning of a long and arduous journey for those involved.
However, just over a year on from the pivotal vote, the markets seem to have stabilised again, and office building trading has seen a resurgence of interest, with new and exciting deals being brokered all across the country. There are plenty of deals to be had right now, and landlords are reporting the leasing market to be just as strong – if not stronger – than they were pre-Brexit.
The main reasons behind the resurgence of the commercial property market have come from overseas, as Chinese and Hong Kong-based investors renew their interest in UK commercial properties, pumping over £4 billion into London’s real estate market.
However, there are murmurings within the market that the foreign investments from Hong Kong and China are likely to be short-lived, with edicts from China restricting some investors from their UK property plans. Whilst European investors, Germany in particular, are still active in the market, it is thought that if the Chinese president restricts the flow of funds from its inhabitants into the UK market, prices will certainly start to fall.
Whilst experts predict that prices will fall by mid to late 2018, it is likely that the ‘Brexit effect’ will not be as harmful to the UK property market as first imagined, as many of the larger banks have yet to make good on their threats to pull out of the UK.
Whatever the current climate in the UK property market, businesses large and small will always get a warm welcome at RTC Business Park, where we can offer as short or long term lease as your business needs, allowing it to be as agile and fast-moving as the property market itself. Why not book in to see how much easier it could be to get great commercial space to let in Derby.