Overseas buyers cause surge in London market - C&W

Investment in London commercial property has risen for the first time since the second quarter of 2007, according to new figures from Cushman & Wakefield.

Statistics for the second quarter show that £1.4 bn was invested in central London's main West End and City & Docklands markets, an increase of over 110% on the first-quarter figure of £679 mln.

C&W said the central London property investment market is likely to be among the first to recover in Europe and the increase in activity is further evidence that overseas investors see value with yields at an historic high. C&W said its forthcoming monthly yield report would also show that weight of money was now putting some pressure on prime yields in the City of London.