Recent reports from Savills and CBRE have shown that the investment in Scotland’s commercial property industry is set to increase from the £2 billion invested throughout 2017. The report is excellent news for those investing in this region as the report shows the demand for commercial property has not slowed after a superb year in 2017.
To date, £1.74 billion has already been invested in the industry, and should the deals for a further £265 million worth of properties currently under offer go through, the total investment amount will comfortably top £2 billion. Furthermore, Savills report calls attention to the fact that investment totals are 90% ahead of the total found at the same point in 2018, and this indicates that the market has continued to grow over the past 12 months.
According to CBRE’s report, office property, such as The Bridge in Kirkcaldy, has accounted for the most significant amount of the investment in Q3, with a total of 35 transactions accounting for 29% of the total investment in the quarter at a value of £93.71m. Alternative property investments made up 9.1% of the total investment sum.
Savills also reported that alternative assets, such as Glasgow Airport Car Park, have seen investments of more than £300 million to date, and this indicates the growing appetite for this type of investment from investors based in Scotland and further afield. With this information added to the reports in 2017 from JLL that the demand for alternative investments such as airport car parks is set to rise in the coming years, the future looks bright for investors.
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