With a new survey revealing that experts are ‘bullish’ over the prospects of the UK commercial property market, this week Simon Morris explains why.
Follow Expert Opinion to Maximise Profit Potential
As an independent property specialist, who acts in an advisory capacity to UK property investment funds, Simon Morris understands the role of industry expertise in building a portfolio capable of maximising profit potential.
Experts know their chosen market more intimately than anyone else ever could; therefore through following their opinion, you can catch said market as it reaches prime profitability. That is why it is so important that experts are feeling ‘bullish’ over the prospects of UK commercial property.
DLA Piper’s 2014 State of the Market Survey
According to Every Investor, this news came to light in DLA Piper’s 2014 State of the Market Survey. It measured the attitudes of 158 commercial property executives. It turned out to be the most positive appraisal of the commercial property industry, since the collapse in 2008.
Specifically, the survey found that 89% of the executives questioned feel ‘bullish’ about the prospects of the market over the next 12 months. Considering the fact that in 2011, only 30% of those surveyed felt the same, this shows the progression of the UK commercial property market.
Why are Execs Feeling More Confident about the UK Property Market?
So why has there been such a shift in attitudes? Along with suggestions I discussed recently, over predictions it is set to record 20% returns by the end of 2014, the sector has measured impressive growth. Values have risen 12.8% over 16 consecutive months.
However doubts persist due to a number of ‘disruptive trends.’ These include the heady growth of e-tailoring, re-urbanisation and crowdfunding. Experts almost universally agree (90%) that this will spur the rise of collaborative office spaces, which will change the face of the commercial property sector.
Commercial Property Going from Strength to Strength
Despite its issues, Simon Morris agrees that executives are right to feel bullish over the prospects of the UK commercial property market; it’s going from strength to strength. Take a market like London; invest your funds carefully in commercial property, and you’ll reap the rewards.