The UK commercial property market
has been bolstered over the past year thanks to interest from foreign investors. According to Colliers International's December Property Snapshot, transactions from overseas buyers have reached GBP 26.4 billion so far this year.
In particular, this figure was fuelled by interest from buyers in the Netherlands, Canada, Norway and Malyasia.
The property agent added that, while there were few shopping centre transactions reported in November, retail parks and supermarkets in the UK have attracted a growing number of bidders.
Analysts for the firm believe that the level of transactions is increasing in line with year-end expectations across most commercial markets. The report added that prime yields are stable, with secondary yields showing weakness as a result of more distressed assets reaching the market.
However, the Colliers report concluded that a weak banking system, falling confidence among consumers and concerns surrounding fiscal retrenchment would continue to weigh heavy on potential buyers' minds and create a weak residential market.
- Monday 20 December 2010