Real Estate

UK real estate

UK real estate compares favourably against other asset classes, largely owing to its steady income stream.
June 2019

UK Property: market themes

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Risk Disclaimer

Views and opinions have been arrived at by BMO Global Asset Management and should not be considered to be a recommendation or solicitation to buy or sell any stocks or products that may be mentioned.

UK real estate compares favourably against other asset classes, largely owing to its steady income stream. The market has continued to deliver positive annual returns since the final quarter of 2009. However, performance was more muted over the year to March amid the wider economic slowdown.

Discover the factors we believe are driving performance, as well as our outlook given the current market climate.

Risk Disclaimer

Views and opinions have been arrived at by BMO Global Asset Management and should not be considered to be a recommendation or solicitation to buy or sell any stocks or products that may be mentioned.

 

Click to buy

With the exceptional rise in online shopping over the past few years, we envisage about 30% of bricks and mortar stores will be repurposed or demolished. Traditional retailers and high streets now must reinvent themselves – that’s the challenge.

Click to buy

Future for shopping centres

Shopping centres face a difficult future as e-commerce continues to dominate the retail sector. Past discussions on the number of new centres opening will likely be replaced by talk on how many are being demolished.

Future for shopping centres

Serviced office space

As serviced office space continues to hugely expand, the challenge for traditional landlords is whether to embrace this trend by raising their game or resist it entirely. We are offering ‘plug and play’ solutions for our occupiers to attract new tenants.

Serviced office space

Sheds not shops

The Industrial sector has been the star performer of the UK property market over the last 3–5 years – but we think it is wise to exercise caution on overexuberance. Meanwhile, shops still form an important part of omnichannel retailing.

Sheds not shops

Brexit

The Brexit effect: uncertainty led transactional volumes in the UK property market down about 40% in the first quarter of 2019.

The Brexit effect
Download a pdf version of our thoughts on the current themes in the UK property market 
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