Commercial property 'to remain buoyant in London'

Office design news from Morgan Lovell

Published on 03-11-2010

London commercial property assets are expected to perform well over the medium term, it has been claimed.

Tony McCurley, partner at GM Real Estate, told attendees of the London Live event that a lack of available stock to fulfil demand means that prices and rents are likely to remain positive for the time being.

However, he commented: "Demand is primarily focused on grade A or prime assets at the moment and I think that people need to be just a little cautious about the pricing of some of the secondary stuff."

Mr McCurley added that many investors may be frustrated at the moment due to the limited availability of grade A property.

According to the Royal Institute of Chartered Surveyors, after a positive start to the year, occupier demand for office interior space in the capital fell for the second consecutive quarter in the third quarter of 2010 - although the net balance was slightly less negative at minus seven, compared to minus nine in the previous three-month period.

Posted by Ian Johnson