- What City investment volumes are due to hit only £3.6bn for the first six months of the year
- Why A lack of investment stock and uncertainty around Brexit
- What next More off market deals and speculative approaches are predicted
City investment is set to hit only £3.6bn or the first six months of the year, according to Savills.
This would be the worst start to a year since 2011. Only £750m of stock is being openly marketed, compared to £3.7bn this time last year as uncertainty over pricing and politics is preventing action on the part of both prospective buyers and sellers.
Off-market activity
The adviser said that despite the plummeting volumes that “the demand and weight of money focussing on London real estate remains high, with investment volumes being constrained by a lack of available opportunities”.
So far there has been £1.85bn of off-market deals, accounting for 69% of total volumes.
Richard Bullock, director in the central London investment team, said: “Despite headwinds there continues to be healthy interest in the London real estate market. While there may be a smaller pool of assets being marketed, we are seeing a growing trend of off market deals and speculative approaches as investors look to secure attractive opportunities in the City”
