Commercial property prices ‘set to increase’

Posted 17/09/2009

Commercial property prices are set to see an increase in the coming months, according to an expert.

John Betteridge, director of investment at financial services company Prudential, expressed confidence that property sale prices are due to see an upturn that will “continue for a while”.

Speaking at finance paper Money Markerting’s retail distribution review and economic update, Mr Betteridge said that the “dramatic falls” witnessed at the end of 2008 and beginning of 2009 are now set to reverse.

He also predicted that the volume of property purchases will also increase, despite the fact that the occupational market is “looking very sick indeed”.

This comes after Investment Property Databank (IPD) earlier this week published statistics which show that the UK commercial property market has recorded its first positive capital growth in more than two years.

Ian Cullen, co-founding director at IPD, welcomed this news as a “first tiny sign of recovery” for the sector.