UK
News that the UK is coming out of recession has led to a substantial increase in the number of investments in commercial property – the highest since 2010.
After experiencing a turbulent few years, the UK residential market is witnessing an appetite for investments again. Recent data from the land registry shows that London has seen the highest annual increase in average property value with a movement of 5.5%, whereas the North East underwent the largest annual price fall, at 3.2%.
This has not only created a flurry of investment activity in the north of England, but investors are now building for the future by investing in residential, commercial and ethical opportunities.
With the declining interest in alternative resource investments, institutions are once again increasing their land and property based portfolios. Due to the UK’s current very low interest rates, the lack of opportunity being presented to the market is quite clear; this is creating huge demand, which will inevitably push prices up.
Occupancy levels in student accommodation, however, remains above 90%, so investment in the education sector has been significant. In 2012, investment in these markets exceeded £2 billion – a 145% increase on 2011 figures.