What are the trends with commercial property at the moment? e.g. retail units

Spec

Registered User
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Residential prices have slowed down. What are the trends with commercial property at the moment? e.g. retail units
 
Re: Commercial Property

Hi Spec

Im no expert, but from what I know and read I'd think they might be slightly higher than residential yields though:

- depends on the sector (industrial, office, retail etc)

- depends on the location (cities, rurual etc)

- depends on the covenant (BTs for 20 years would be a lower yield than Jack's corner shop for 5 years I'd think)

One thing I like about commercial investments, is that most are on FRI leases (full repairing and insuring), so you won't be getting a call everytime the fridge breaks down etc

Cheers

G>
 
Yields on quality commercial investments are quite low in Ireland right now; basic supply/demand problem, too many buyers chasing too few good covenants.

Better looking elsewhere for similar projects, try the UK, Germany, Hungary, Spain for premises occupied by national-name supermarket chains etc.