Areas such as student property, industrial estates and warehouses are among the more promising areas in the sector, with Charu Lahiri, investment manager at Heartwood Investment Management, saying UK commercial property continues to offer more attractive yields than the likes of ten-year gilts.
However, it will be “vulnerable to a slowdown going into 2018” as Brexit negotiations get underway.
She added: “Against this backdrop, our approach remains targeted and sector-specific. We are exposed to those areas that are less vulnerable to Brexit headline risk, such as key UK regional cities, where supply and demand conditions remain supportive, as well as industrial sites and warehouses.”
