Research
Thu, 22/07/2021 - 12:00
· 1 min read

What is Driving Prime Office Yield Compression in Central London?

Behind the Central London investment markets' relatively muted start to the year, there are plenty of reasons to be optimistic. Confidence in improving rapidly and investors sense an opportunity. In turn, prime yields are beginning to harden.

  • Analysis of prime Central London office pricing’s trajectory against its peers in Europe, as well as its historic relationship with government bonds, suggests that Central London offices remain undervalued.
  • Despite ongoing concerns over the fallout of Brexit and the pandemic, London continues to prove its status as the number one trading centre and VC investment destination in Europe.
  • Even factoring in the higher costs of finance compared to European markets, core London offices still offer attractive cash-on-cash returns for investors.

 

Click to read Central London offices: What is driving prime yield compression?

What is Driving Prime Office Yield Compression in Central London?