Commercial propertyis still to reach the "point of maximum pessimism" as fears of widespread price falls next year continue to circulate, one commercial property in London chief executive has claimed.
Chris Turner, head of property at Thames River, says that the commercial sector is increasingly "vulnerable to alarm and despondency" following troubles in the economy caused by the credit crunch in the US.
The group’s property investment trust fell in net asset value per share of 19.6 per cent from 291 pence to 234 pence between March 31st and September 30th.
Following a separation of 19 per cent of its assets to a new class called Sigma in July, the fund’s total assets fell to £642 million, from £1.08 billion. Sigma is invested mainly in property stocks in mainland Europe, reports Property Week.