According to CBRE, February monthly index (PDF), all UK properties gained 0.4%, only a slight increase over January’s numbers. Overall, capital value growth remained unchanged at -0.2% for the fourth consecutive month. Capital values either remained steady, or showed a slight decline across office space and retail, according to the report.
Aleksandra Starczynska, CBRE Research Analyst, offered this comment on the findings:
“There is an interesting contrast between the impact on capital value of rental values and yields. After a steady decline over 2012, falling by 0.37%, rental values have been stable so far in 2013. In contrast, yield increases continue to impact negatively on capital values.”
As reported, rental values across the UK were flat in February, with the most positive news being rental values going up for West End offices and retail warehouses. Shops were the biggest losers having seen a decrease in value of 0.2%.