New data suggests that an increasing number of overseas buyers are eyeing up investment in UK commercial property.
According to reports, buyers from Asia alone had pumped £4.5billion into London’s office market by the end of November 2016.
Data from estate agent Savills suggests that a third of commercial property activity in London over the course of 2016 could be attributed to purchases led by Asian overseas investors.
Experts suggest that figures could balloon further by the close of December, if deals currently in the pipeline are able to reach completion before January takes hold.
However, Savills has warned that the property development sector could experience a decline in coming months, due to political uncertainties associated with Brexit negotiations, which could delay construction and development of commercial premises.
It estimates that, across the UK, there could be a decline of up to 40 per cent from 2017 until 2021 in development activity of retail, office and industrial property.
In central London, it predicts that as many as half of all planned commercial developments could grind to a halt.
Savills Head of European Commercial Research, Mat Oakley, said: “This would definitely be Brexit-related – a mix of lender, developer and occupier risk-aversion”.