Commercial property values ‘rose 0.2 per cent’ in September

Posted 14/10/2010

The value of UK commercial property increased by 0.2 per cent during September 2010, new research has revealed.

According to the Investment Property Databank (IPD), this equated to a 14.2 per cent increase over the last 12 months, despite the continuing difficult economic climate.

Last month also marks the fifth consecutive quarter of growth, the IPD study said.

However, spokesperson Ian Cullen said the fact that the month’s increase in values was only slight “reflects the continuing uncertainty over property fundamentals and whether the UK economy will enter a double-dip recession”.

It was recently found by CB Richard Ellis that the central London office market had been a key driver in commercial property growth lately.

Last month, Timothy Lambert – a representative of private wealth management firm Ducalian – said he feels the commercial property sector is in a transition period as a result of the recent recession, with investors keen to return to reasonable yields.