UK Commercial Property investments off to a strong start in 2018

Posted on 23 February, 2018 by Bailey Clarke

Although Brexit is still looming over the UK, figures recently released by Savills’ February Market in Minutes’ report, show it is far from slowing things down in the commercial property market. Savills’ report highlighted that investment in the UK commercial property market was 66% higher than last year, with a total of £4.2billion for January 2018 compared to January 2017.

The overall demand for UK property is still at a high with the total amount of investment into real estate adding up to £65.4 billion in 2017, leading 2016 by a huge 26%. With such a strong start to 2018, it’s very likely to be another hugely successful year in the UK commercial market.

Office and Industrial space were the property types most popular in the UK market, with overseas investment believed to be responsible for almost half of the total investment. UK property is still proving popular in Asia as well, with Asian investors putting their funds behind the UK market and accounting for a fifth of all investment in 2017.

The industrial sector was the star of 2017 however, with its secure income it attracted investors to put in nearly £11 billion pounds worth of investment. This was an impressive increase of 80% from 2016 and made up 17% of the total amount of commercial investment of 2017. With the huge growth in online shopping and no signs of this slowing down, it’s probable that the industrial sector will continue performing very strongly in the UK commercial market for the foreseeable future.



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