Some investors and firms are choosing not to make any commercial property-related decisions until after the Scottish referendum, a new report from Colliers International reveals.
According to scotsman.com, the Scottish commercial property market is expected to boom after the vote, whether or not the country agrees on independence.
However, although the decision will have little impact in the immediate future, it will effect the long term. In the case of a ‘yes’ vote, companies are likely to experience uncertainty about the months ahead, because negotiations regarding what will ch ange could take at least 18 months, reports propertywire.com.
Walter Boettcher, director of research and forecasting at Colliers International, says that this lack of certainty about what is going to happen is creating feelings of anxiety in some parts of the economy.
“Only 13 per cent of our respondents expect the current volatility and uncertainty to disappear within two years, given a yes vote,” he explains. “The debate so far has been un-illuminating, founded as it is on what-ifs and scenarios that are only parti ally understood.”
He adds that 51 per cent of businesses believe that an independent Scotland would be a higher risk investment than the Eurozone periphery, indicating that opinions are vastly divided.
Tom Johnston, head of retail for Scotland and head of Glasgow with Colliers, thinks that a ‘yes’ vote means professional services firms in both Edinburgh and London will experience a rise in demand, as companies will be seeking advice on what to do next.
The views expressed in this post are those of the author and are not necessarily those of Qube Global Software. All facts are verified where possible directly by the author.