Retail sector remains 'resilient' - commercial mortgages

10 October 2006

Investments in commercial property in the UK are continuing to perform well, according to experts.

A report by Fidelity International suggests that the market for people with commercial property in the UK is currently trading at a "relatively attractive" value, providing a good investment opportunity.

The firm suggests that contrary to recent reports, property within the retail sector appears to be recovering.

Steve Buller, portfolio manager of the Fidelity Global Property Fund, comments: "The London office market is doing well and the retail sector in the UK has shown itself to be surprisingly resilient to any fears of a slowdown."

A recent report by the Royal Institution of Chartered Surveyors (Rics) indicated that demand for retail property has been in decline although occupier demand for office space grew at a record pace.

However, the Rics argued that the strength of the market was almost entirely due to the performance of commercial property in London.