Even though we’ve witnessed political uncertainty in the UK in recent months, the UK commercial property industry has managed to maintain its resiliency. However, it may not be all sunshine and rainbows, so to speak. A survey conducted by RICS (Royal Institution of Chartered Surveyors) has revealed that rental commercial property demand has reached 5-year lows since the last quarter; commercial rental property demand was in the negative territory of -2%.
Despite the fact that these figures may not indicate a marked significance, it might point to signs of a softening market. Online shopping is absolutely destroying regular retail outlets and demand in the retail sector might likely decline further.
However, this shift in trend toward online shopping is certainly benefiting the commercial property scene in the UK. Surveyors have noted that growth looks robust – rental space in the commercial sector is being subjected to a supply squeeze. Demand is also looking steady for office space.
On the one hand, commercial property is currently trying to move forward through stormy waters, on the other, it has proven resilient in the face of the UK’s current economic and political scenario, which has started to look more and more convoluted.