{"id":2493,"date":"2017-03-20T07:00:31","date_gmt":"2017-03-20T07:00:31","guid":{"rendered":"https:\/\/www.buyassociation.co.uk\/?p=2493"},"modified":"2023-09-28T15:29:23","modified_gmt":"2023-09-28T14:29:23","slug":"london-suffers-commercial-property-growth-slows","status":"publish","type":"post","link":"https:\/\/www.buyassociationgroup.com\/en-gb\/2017\/03\/20\/london-suffers-commercial-property-growth-slows\/","title":{"rendered":"London suffers as commercial property growth slows"},"content":{"rendered":"<p><strong>Commercial property price slowed in growth for a second consecutive month in February, despite signs of recovery in the last quarter of 2016, following the EU referendum.<\/strong><\/p>\n<p>MSCI\u2019s real estate index identified a 0.17% asset growth compared to January, with overshadowing <a href=\"https:\/\/www.buyassociationgroup.com\/en-gb\/2016\/12\/21\/rental-growth-slowed-2016-set-rise-2017\/\" target=\"\" rel=\"noopener\">stable rental growth<\/a>, with total returns dropping from 0.71% in January to 0.625% in February.<\/p>\n<blockquote class=\"wp-embedded-content\" data-secret=\"gfsPDrAQXr\"><p><a href=\"https:\/\/www.buyassociationgroup.com\/en-gb\/2017\/02\/24\/strong-uk-commercial-property-market-demonstrates-resilience-first-quarter\/\">Strong UK commercial property market demonstrates resilience in first quarter<\/a><\/p><\/blockquote>\n<p><iframe class=\"wp-embedded-content\" sandbox=\"allow-scripts\" security=\"restricted\" style=\"position: absolute; clip: rect(1px, 1px, 1px, 1px);\" title=\"&#8220;Strong UK commercial property market demonstrates resilience in first quarter&#8221; &#8212; BuyAssociation Group\" src=\"https:\/\/www.buyassociationgroup.com\/en-gb\/2017\/02\/24\/strong-uk-commercial-property-market-demonstrates-resilience-first-quarter\/embed\/#?secret=icIFlwpCYI#?secret=gfsPDrAQXr\" data-secret=\"gfsPDrAQXr\" width=\"600\" height=\"338\" frameborder=\"0\" marginwidth=\"0\" marginheight=\"0\" scrolling=\"no\"><\/iframe><\/p>\n<p>As a result of the Brexit vote in June 2016, a substantial number of occupiers have postponed or eradicated plans for expansion, with buyers and occupiers employing a more cautious approach to the market as a consequence.<\/p>\n<p>Zachary Gauge, European real-estate analyst at UBS, provides a suited warning to <a href=\"https:\/\/www.buyassociationgroup.com\/en-gb\/2017\/02\/13\/commercial-property-values-rise-despite-drop-completion-rate\/\" target=\"\" rel=\"noopener\">commercial property stakeholders<\/a>: \u201cBrexit hasn\u2019t started yet, and I don\u2019t think anyone really knows what the medium- to long term consequences are going to be\u201d.<\/p>\n<p>Certain financial firms, amongst the highest users of London office space, have warned that they may pack up and move overseas, should Brexit implications deny them from servicing <a href=\"https:\/\/www.buyassociationgroup.com\/en-gb\/2017\/12\/06\/foreign-investors-stung-by-corporate-gains-tax-on-uk-commercial-property\/\">EU clients<\/a> from the UK.<\/p>\n<p>Great Portland have already sold Facebook\u2019s London headquarters building at a discount, whilst British Land managed to secure an above valuation price for the Leadenhall Building.<\/p>\n<blockquote class=\"wp-embedded-content\" data-secret=\"e8zrdEBjyU\"><p><a href=\"https:\/\/www.buyassociationgroup.com\/en-gb\/2017\/03\/16\/property-investment-england-focus-central-london\/\">Property Investment in England: Focus Central London<\/a><\/p><\/blockquote>\n<p><iframe class=\"wp-embedded-content\" sandbox=\"allow-scripts\" security=\"restricted\" style=\"position: absolute; clip: rect(1px, 1px, 1px, 1px);\" title=\"&#8220;Property Investment in England: Focus Central London&#8221; &#8212; BuyAssociation Group\" src=\"https:\/\/www.buyassociationgroup.com\/en-gb\/2017\/03\/16\/property-investment-england-focus-central-london\/embed\/#?secret=9jZJ1al8uV#?secret=e8zrdEBjyU\" data-secret=\"e8zrdEBjyU\" width=\"600\" height=\"338\" frameborder=\"0\" marginwidth=\"0\" marginheight=\"0\" scrolling=\"no\"><\/iframe><\/p>\n<p>Whilst Brexit\u2019s impact on the financial sector poses the threat of a substantial decline in <a href=\"https:\/\/www.buyassociationgroup.com\/en-gb\/2023\/03\/31\/residential-vs-commercial-property-investment\/\">residential and commercial property prices<\/a> in London, the devaluation of the pound would likely be beneficial to the manufacturing sector, which provides a significant amount of jobs in the <a href=\"https:\/\/www.buyassociationgroup.com\/en-gb\/2017\/03\/12\/property-investment-england-focus-north-west\/\" target=\"\" rel=\"noopener\">North West<\/a>, Click Liverpool reports. As such, it is unlikely that there will be any similar impact on residential or commercial rents in the North West of the UK.<\/p>\n<p>The only thing that is certain is the uncertainty and unpredictability of the market, leading to <a href=\"https:\/\/www.buyassociationgroup.com\/en-gb\/2017\/03\/09\/buy-london-first-time-buyers\/\" target=\"\" rel=\"noopener\">London<\/a> slowly but surely losing the wow-factors it has built up over years.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Commercial property price slowed in growth for a second consecutive month in February, despite signs of recovery in the last quarter of 2016, following the EU referendum. MSCI\u2019s real estate index identified a 0.17% asset growth compared to January, with overshadowing stable rental growth, with total returns dropping from 0.71% in January to 0.625% in<a class=\"excerpt-read-more\" href=\"https:\/\/www.buyassociationgroup.com\/en-gb\/2017\/03\/20\/london-suffers-commercial-property-growth-slows\/\" title=\"ReadLondon suffers as commercial property growth slows\">&#8230; Read more &raquo;<\/a><\/p>\n","protected":false},"author":1069,"featured_media":4451,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[12,59,6],"tags":[153,198,11],"acf":[],"_links":{"self":[{"href":"https:\/\/www.buyassociationgroup.com\/en-gb\/wp-json\/wp\/v2\/posts\/2493"}],"collection":[{"href":"https:\/\/www.buyassociationgroup.com\/en-gb\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.buyassociationgroup.com\/en-gb\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.buyassociationgroup.com\/en-gb\/wp-json\/wp\/v2\/users\/1069"}],"replies":[{"embeddable":true,"href":"https:\/\/www.buyassociationgroup.com\/en-gb\/wp-json\/wp\/v2\/comments?post=2493"}],"version-history":[{"count":1,"href":"https:\/\/www.buyassociationgroup.com\/en-gb\/wp-json\/wp\/v2\/posts\/2493\/revisions"}],"predecessor-version":[{"id":6093495,"href":"https:\/\/www.buyassociationgroup.com\/en-gb\/wp-json\/wp\/v2\/posts\/2493\/revisions\/6093495"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.buyassociationgroup.com\/en-gb\/wp-json\/wp\/v2\/media\/4451"}],"wp:attachment":[{"href":"https:\/\/www.buyassociationgroup.com\/en-gb\/wp-json\/wp\/v2\/media?parent=2493"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.buyassociationgroup.com\/en-gb\/wp-json\/wp\/v2\/categories?post=2493"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.buyassociationgroup.com\/en-gb\/wp-json\/wp\/v2\/tags?post=2493"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}