Latest market in minutes report shows positive signs for retail
UK commercial real estate investment activity rebounded in December and early this year, total transactional activity for January 2020 was not as strong as January 2019, according to Savills.
December 2019 saw a surge in investment activity, with UK volumes for the month reaching £9.7 billion, according to Savills latest Market in Minutes report, with the month accounting for 20% of the entire year’s volume.
Savills analysis of the trading statements of 31 retailers who have reported on their Christmas trading reveals that on average total sales were up 5.0 per cent, with half of retailers reporting a better uplift this Christmas than last defying many expectations. The report shows that retail yields remain unchanged month-on-month in most markets, says Savills.
James Gulliford, joint head of UK investment at Savills, commented: “While it’s arguable whether any more economic or legislative stability has emerged from December’s election result, investors in the UK clearly feel that the removal of political uncertainty is a good thing. While early indications are that December’s surge might have been more of a blip rather than a bounce, core investors are returning to the UK. They may be challenged this year by a lack of stock, so while volumes may not boom this year we do expect to see significantly more buyers.”