Commercial property, such as offices to let in Hemel Hempstead, is becoming a more attractive investment due to economic uncertainty, one industry figure has stated.
Ian McBryde, manager of the Isis Property Trust, told Fund Strategy the recession has increased the appeal of offices.
"We're now seeing bond yields dropping to near record lows so that's making property more attractive," he remarked.
The revenue of the asset is still good despite an increase in capital values during the first six months of the year, Mr McBryde continued.
However, those expecting to see significant short-term profits could be disappointed, he commented, as he predicts returns to be about ten to 11 per cent, rather than the 14 per cent forecast by other industry figures.
Mr McBryde's view is supported by a recent article from Money Marketing, which said the trend for commercial property investments is for a consistent level of return.
