There is good news for the UK commercial property market with the demand for London and regional UK property remaining strong. Likewise, the weakness of sterling has added to the attractions of UK commercial property assets for overseas investors.
In a recent article by Citywire they take a look at what a hard Brexit means for the UK commercial property market.
"Theresa May's plan to instigate a 'hard Brexit' has allowed a fog to clear in the UK commercial property market.
On Tuesday, the prime minister confirmed the UK would leave the European Union’s single market. While the plan will put pressure on the UK’s negotiation skills, it at least provides investors with a better idea of the path ahead.
The Brexit vote hit the UK commercial property market last summer, causing a number of deals to fall through and buildings to be withdrawn from the market.
Investors in property funds panicked and withdrew substantial sums. Asset managers were unable to cope with these outflows, so trading was suspended on property fund assets totalling £18 billion. Other funds applied penalties of up to 15% to prevent investors taking out more money." Read more...