Join us for FREE and access exclusive investments and property investment resources
Join IPIN here
Access exclusive opportunities that are only available to IPIN Members
Find out more
We never share your data with any third parties.
*Note: IPIN investment opportunities are available subject
to location and certain knowledge / experience criteria.
Distressed Real Estate
Royal Institution of Chartered Surveyors
Republic of Ireland
distressed commercial real estate assets
An increase in the number of distressed commercial real estate assets for sale in the UK could result in values falling rather than rising, one expert in the sector has predicted. Kelvin Davidson, property economist at Capital Economics, explained that because sales under this circumstance are forced, buyers can take advantage of the vendor's need to offload the property."Normally you would associate rising transaction volumes with rising prices but, in this instance, it might actually be the case that more transactions and more liquidity result in prices going down, because the position is stronger for the buyer than the seller," Mr Davidson stated. He went on to point out that commercial property values have already experienced slower growth this year than previously and he suggested that prices are likely to remain flat for the next 12 to 18 months.Earlier this month, the Royal Institution of Chartered Surveyors published research which revealed that investor demand for distressed real estate rose significantly during the second quarter of 2011. However, the organisation pointed out that, despite this surge in interest, the supply of such assets will outweigh demand in many countries, most notably in the Republic of Ireland, Italy and the UK.
Subscribe to IPIN Live by Email - Get our News & Blog updates delivered directly to your inbox - click here
Visit Our Investment Terms Glossary
*This page is provided for information purposes only and should not be construed as offering advice. IPIN is not licensed to give financial advice and all information provided by IPIN regarding real estate should never be treated as specific advice or regulations. This is standard practice with property investment companies as the purchase of property as an investment is not regulated by the UK or other Financial Services Authorities.