RICS Chief Economist Simon Rubinsohn Talks Commercial Property, Global Survey With CNBC
07/27/2009 23:33
Rubinsohn stated that concerns in the commercial property market will continue into 2010: “Rental declines will weigh on property pricing across many developed economies into 2010 reflecting both rising availability and weaker labour markets. “The dearth in global finance continues to impede investment activity with transactions in decline across more than 80 percent of countries surveyed. However, higher yields may be starting to attract interest particularly in economies such as the UK and Hong Kong where prices have already corrected significantly and borrowing and saving rates are at historic lows. “In emerging markets, those countries tied into Chinese trade relationships appear to be weathering the storm better than most with parts of Latin America and Africa including Mauritius, Nigeria and Ghana holding up relatively well. Emerging Asia in particular stands out as the regional outperformer with a marked slowdown in the pace of rental declines and tenant demand in China and India rising for the first time since 2008.” ###
About the Global Property Commercial Survey RICS’ Global Commercial Property Survey is a quarterly guide to the developing trends in the commercial property investment and occupier market. This edition details market conditions for the second quarter of 2009 based on information collected from leading international real estate organisations and local firms. Survey questionnaires were sent to real estate organisations in June 2009, with responses received up until the 20th of July 2009. Respondents were asked to compare conditions over the latest Three months with the previous three months. A total of 419 responses were received. The full survey report may be found here. |