• Falling capital and rental values in Q4 led to negative total returns in Scotland for the first time since Q4 2009.
• The best performing sector in Scotland was industrial.  Retail warehouses also performed relatively well.
• Investment purchases totalled £331.4m in Q4 bringing the total for the year to £1.28bn.
• The general economy in Scotland remains in a fragile state with rising unemployment contributing to falling consumer confidence and weaker consumer spending.

• Take-up in January was 839,400 sq ft, down on the previous month but higher than January 2011.
• Availability increased marginally as a result of secondhand stock coming back to the market.
• Under offers reduced significantly to 1.82m sq ft, the lowest total since June 2009.

• Unlike the 1960’s blocks, today’s  tower developments symbolise luxury living and can add substantial value.
• Attributes like view, aspect, privacy and exclusivity are all enhanced by storey height and contribute to a 36% uplift in price.
• We estimate that prices increase by  an average of 1.5% per floor.

Fragile Start to 2012 for UK Property

• After a robust finish to 2011, UK property has seen a deterioration in performance at the start of 2012, with values falling by 0.2% and total returns of just 0.3%.

• All three sectors saw capital values fall by 0.2% this month.

• The once resolute Central London office market saw its first decline in values after two and half years of positive growth in January.

• Retail warehouses were the top performing sub-sector in January, with capital values flat and total returns of 0.5%.

• All property rental values were marginally down in January, falling by 0.1%.

• Equivalent yields started to show signs of weakening investor sentiment this month, moving a few bps to 6.6% at the headline level.

• Take-up across the regional city centre markets fell by 10% compared to 2010.  Although expected to be lower, 2011 was still a robust year given prevailing economic conditions.
• Availability remained relatively stable, increasing by less than 5%, although the supply of newly built space fell by 13%.
• Prime rents have remained unchanged in all of the regional city centres other than Aberdeen and Manchester, where healthy demand and limited supply of Grade A buildings has seen prime rents rise to £31.50  and £29.50 per sq ft respectively.
• Investment transactions are down on the previous year, falling by around 36% on 2010. In total, across the city centre markets, £1.7bn of stock was transacted during the course of 2011. 
  

A review of the office market in the second half of 2011, and a look forward to prospects for 2012.  The report covers:

• Take-up
• Supply
• Rents and yields
• Investment market
  

A review of the office market in the second half of 2011, and a look forward to prospects for 2012.  The report covers:

• Take-up
• Supply
• Rents and yields
• Investment market
  

A review of the office market in the second half of 2011, and a look forward to prospects for 2012.  The report covers:

• Take-up
• Supply
• Rents and yields
• Investment market
  

A review of the office market in the second half of 2011, and a look forward to prospects for 2012.  The report covers:

• Take-up
• Supply
• Rents and yields
• Investment market
  

A review of the office market in the second half of 2011, and a look forward to prospects for 2012.  The report covers:

• Take-up
• Supply
• Rents and yields
• Investment market