Rode’s State of the Property Market
On the whole, conditions in the non-residential property market seem to be improving. Evidence of this can be found in the continued decline of standard capitalization rates as well the healthy office take-up recorded in especially the decentralized office nodes. However, by the end of 2003, there was still no recovery in the real rentals of office and industrial buildings.
Finally! Non-residential property appears to be over the worst. The best evidence of this can be found in the decline of standard capitalization rates in quarter 2003:3, which was noticed for all non-residential property types, except industrials.
On average, the majority of our non-residential property indicators for quarter 2003:2 still pointed to a market under siege. As for residential property, house prices were still firmly nestled in their upswing, whilst real flat rentals were consolidating.