London becomes most popular city to invest in for commercial property
According to a report published today, London has topped a survey as the most popular city for commercial property investment in Europe.
The report from PricewaterhouseCoopers and the Urban Land Institute shows the highest increase in new acquisitions in the commercial market in the city in comparison to other European cities.
London has also jumped to fifth place for new commercial developments in 2010, a staggering 18 places higher than last year’s survey. London’s success over last years winners Munich has been seen as a result of price declines in the city- prices of central London offices fell by around 50% in the past two years until July. The weak pound against key world currencies has been another factor, helping attract overseas investors to the capital.
‘The worst may be over and the bottom has been reached for London. There’s a concern that for prime assets with good tenants, there’s a bubble developing,’ stated John Forbes of PricewaterhouseCoopers.
London came top of another similar survey earlier this month, by the Association of Foreign Investors in Real Estate. The UK capital beat Washington DC and New York as a top destination for commercial property and investment in the survey released in January.
Despite such good news, experts are saying that there is still a long way to go in terms of recovery for the markets in London and around the world. However such good news can only help boost markets and benefit property investment opportunities in the city and surrounding areas.