London office landlords were given a boost on Thursday by figures that signalled early signs of improvement in a property market battered by Brexit jitters in the first half.
Property firm Avison Young said £1.5 billion of office building transactions were recorded in central London last month, representing a quarter of total year-to-date sales.
The figure is up from £762.8 million in July last year.
Chris Gore, Avison Young’s head of City transactions, London markets, said weakening economic sentiment and political uncertainty contributed to a slowdown in the first half. But “early evidence suggests the second half will be more positive”.
Fergus Keane, a partner in the London capital markets division at Cushman & Wakefield, said his firm is aware of 20 investors looking around Southbank Place, an office development on the market for £875 million.
Keane added: “London is looking attractively priced against most of the other global gateway cities and in this low bond and cash-yield environment, we have reason to be positive about investment prospects.”
However, he pointed out that limited stock is on the market as some would-be sellers wait to see if pricing levels improve.
