Commercial property 'to see global investment'

Office design news from Morgan Lovell

Published on 29-01-2010

Commercial property around the world is likely to see significant investment over the coming months, as these assets are seen to be stable and ripe for growth, it has been claimed.

Jonathan Hull, head of capital markets at CB Richard Ellis, said major corrections have now taken place in most markets across the globe. Therefore, many new modern office design projects represent excellent value at present, as many will have lost worth during the economic downturn.

He commented: "A lot of institutions and private equity is therefore now focused back in the market believing that going forward, it will either be stable or recover over the medium term."

According to predictions made earlier this month by King Sturge, London commercial property rents will increase by 10.5 per cent by the end of 2010.

However, prime central London rents could rise by less, with the West End forecast to see rental growth of 7.6 per cent by the end of the year.

Posted by Adrian Norman.