An increasing number of private buyers are looking to commercial property as an investment vehicle according to one expert.
David Sanderman, managing director of property auction information firm the Essential Information Group (EIG) claimed there has been a “terrific influx” in the past ten to 15 years.
He said buyers are “looking for property investments for their pension funds where they can see both income return and capital growth”.
“With the commercial property market, we are seeing property sell when they come to auction; they’re still selling much better than the residential side by 60 per cent,” he added.
EIG figures back up his claims – according to the group 64 per cent of all commercial lots offered at auction in July were sold, compared to 55 per cent of residential properties.