The level of foreign investment in UK commercial property market and particularly London has increased dramatically even just in the last year with an 24.4 Billion pounds invested last year which is as 25% increase of the 20.3 billion pounds invested the year before. This contributes to around 40% of the money invested into the commercial market.
If you own a commercial property, then the foreign investment is good for you. It is pushing prices up as overseas buyers pour money into the market quicker than demand can be meet. London and the UK is seen as a safe place to invest where your money can bring returns, this isn’t the case in a lot of countries where the investment is coming from.
The negative to foreign investment is something which has been talked about in the media a lot lately – ‘dirty money’. Is London’s property market becoming a place for money lauders to use and abuse? What is the solution to maintaining the growth and returns the foreign money is bringing to the commercial property market?
Teresa Beatty a commercial surveyor at Morgan Pryce “Stopping foreign investment is not going to benefit the economy, we just need to monitor where the money is coming from.”
This news was brought to you by Morgan Pryce, a specialist tenant acquisition agent with offices in Oxford Circus and the City. Morgan Pryce specialises in search, negotiation and project management and works exclusively for tenants.
