Developer, Land Securities, has said there is little hope of a swift recovery in the ailing commercial property market.
The company’s managing director, Mike Hussey, told the Reuters Global Real Estate Summit previous claims of a swift turnaround were misplaced.
"But this immediate ‘oh it will be better by the end of the year’ last year bit was clearly not real," he said.
Land Secs shares have reached their weakest since December 2004 amid falling commercial property values and a difficult economic period.
Mr Hussey said he expected investors to look to UK commercial property companies with modern assets.
He told the summit: "Every downturn has a phase of denial, whether we are outside that phase…. I don’t know."