The commercial property sector, which has been depressed for the past three years, has started to show signs of recovery.
A survey published by the RICS this week reports that occupier demand for commercial property has risen for the fourth consecutive quarter.
An RICS spokesperson said: “London is showing a marked turnaround, which is a cause of optimism. There is a steady growth in the office sector after a prolonged period of weak activity.”
The RICS cited retail property in the West Midlands and north-east England as showing strong demand.
However, the commercial property market is facing a period of uncertainty, as the government is set to decide whether to legislate on leases in England and Wales by the end of the year. A cap on lease length and a ban on upward-only rent reviews are among the options being considered.