INDUSTRY NEWS

Commercial property poised for comeback

UK commercial property markets are poised for a 2010 comeback, according to asset management company Schroders.

The company is now interested in raising capital to invest in the market as it nears its bottom, it has been reported.

“There are signs we might get some stability in the prime end of the market from the end of next year leading to a recovery in 2010, and that could be attractive to buy,” said head of property William Hill.

Commercial property prices have been badly hit by the weakening of international markets – portfolios from several funds have been heavily revalued.

The firm’s head of property research Mark Callender told the Guardian: “Given the outlook for the economy, we’re not going to see a recovery in rents very quickly.

“But property will start to look cheap relative to other assets, especially for new investors coming into the market.”

Cheaper rent can only act as an incentive for firms considering relocating to new offices in London.ADNFCR-1329-ID-18895088-ADNFCR

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