UK commercial property update and outlook
March 2023
Yields in the direct market have tightened again for many of the lower-yielding assets now that some of the worst fears for the path of interest rates are no longer expected and the outlook for the UK economy is more sanguine. The availability and cost of debt has improved and investors have increasingly returned to the market, keen to deploy pent up investment capital in advance of anticipated price growth. Risks nevertheless remain amid economic stagnation and double digit inflation that are yet to resolve and will impact both investment and occupier markets.
