Rics predicts rental decline in UK

Office design news from Morgan Lovell

Published on 30-04-2010

The Royal Institute of Chartered Surveyors (Rics) has said there is an ongoing decline in commercial property rates taking place in the UK and other developed countries, such as France and Germany.

Rics chief economist Simon Rubinsohn claimed that the challenge of overcoming public sector debt crisis is overshadowing the marketplace at present and this will inevitably result in a downturn in higher costs for firms.

He commented: "This could have consequences for both occupier activity and the ongoing strength of the investment recovery reflecting both the rationalisation of government property space and the potential for higher borrowing costs."

Mr Rubinsohn added that the Latin American and Asian markets are now showing significant signs of recovery.

Rics presently has more than 100,000 members worldwide and specialises in providing professionals qualified in working with land, property, construction and their associated environmental issues.

Posted by Ian Johnson.