The rental side of the European commercial property market will show widespread growth throughout the rest of 2014, one industry researcher has claimed.
Richard Holberton, a senior research director at property firm CBRE, said that stable rental figures and the improving economic situation suggest that growth should be expected over the next six months.
Earlier this week, CBRE revealed the results of its first quarterly survey of the year. The data shows that investment activity across Europe has started to rise once again, with optimism increasing over the last six months, propertywire.com reports.
Mr Holberton was quoted by cbre.co.uk as saying: “Demand for European commercial property continues apace in 2014 reflected by the tightening of prime yields across all sectors during the first quarter.”
He went on to point out that the first quarter’s drop in yields was particularly prominent in countries which have endured economic struggles over the last few years, such as Portugal, Spain, Ireland and Greece.
The growing interest in these particular countries suggests that chances of a full recovery for the Eurozone are high. The retail sector is contributing particularly significantly to the rising confidence, with rental yields falling in Lisbon, Barcelona, Dublin and Athens.
According to the report, most retail and industrial markets saw prime rents remain stable during the first quarter, with the UK and Germany the only regions to show substantial growth.
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