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Investor demand on the up

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Investor and occupier demand has continued upwards despite last month’s interest rate rises, according to a survey by the Royal Institution of Chartered Surveyors.

Investor demand continued rising firmly although a mild slowdown has occurred in retail and the industrial property markets. 26 per cent more surveyors reported a rise in investor demand as opposed to a fall down from 29 per cent in the second quarter. Interest rate rises have had little dampening impact on new business occupier enquiries for space as a stronger economy has supported business expansion.
RICS spokesperson Ian McRae said: “Borrowing costs have done little to dampen property investment.  A strong economic outlook has allayed any fears that demand for commercial property assets have hit a brick wall.  Investors are focussing on rising rental levels and are looking forward to greater income returns in the year ahead.”



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