The UK commercial property market has completed a full year of capital growth, with markets rising by 15.4% since last August, according to July’s IPD UK Monthly Index.
The UK commercial property market has completed a full year of capital growth, with markets rising by 15.4% since last August, according to July’s IPD UK Monthly Index.
In July, the market returned just 0.2% positive capital growth - matching the figure which kick-started the recovery at the end of last summer. A stable 0.6% income return contributed to a monthly 0.8% total return.
Mark Clacy-Jones, Research Manager at IPD, said: 'For four consecutive months the pace of capital appreciation has attenuated, as yield compression remains fractional across the sectors. The pace of rental decline remains slight, at minus five basis points. So, the property picture looks stagnant at the end of the summer, but - as we know - this can change quickly as events over the latest cycle have proved.'
