Commercial sector 'turns corner' - commercial mortgages

10 August 2009

The commercial property sector in the UK "turned the corner" last month, according to the latest research.

People with commercial mortgages may see the CB Richard Ellis (CBRE) Monthly Index's findings as positive news as the research noted a 0.2 per cent increase in the value of property.

Moreover, total returns went up by 0.8 per cent - the first time this figure has risen since the industry downturn started in June 2007.

The CBRE study also indicated that retail warehouses witnessed the largest increase in values in July, with a rebound of 1.2 per cent and total returns nearly two per cent higher for the month.

David Wylie, head of economics and forecasting at CBRE, remarked: "This month's Monthly Index results reveal the undoubted sea change in investor sentiment that has taken place over the past month."

He added that stabilisation and improvement in the wider market has occurred partly as a result of the "strong appetite" shown for prime assets broadening out.

Last week, CBRE revealed that that there is also a strong demand for prime office investments in Bristol.

Find out more on our commercial mortgages and how we can help you achieve your aims - enquire online.