Commercial property development at three-year high - commercial mortgages

13 April 2007

The development of new commercial properties in the UK is currently at a three-year high according to new data from property agency Savills.

Savills reports that new builds are up in both the private and public sectors, hitting the highest level in three years last month. Experts speculate that these trends are on track to continue in the coming months, particularly in the area of office construction.

Property investors interested in commercial mortgages could subsequently find themselves with a wider choice of new build properties to choose from, meeting demand for commercial property space in the UK.

These findings support recent research from the Royal Institution of Chartered Surveyors showing construction to be growing at its fastest rate in a number of years.

In related news Savills reports that the commercial property sector has been boosted by a renewal in activity and rising rents, highlighting an increase in the number of retail parks with peak rents above £25 per square foot.