Across the UK towns and cities are strewn with empty office blocks; working from home has become the new norm, with millions having evacuated their usual office spaces for the comfort of the home office.
Meanwhile, thousands of retail and leisure facilities have closed their doors permanently. The COVID-19 pandemic brought about an unprecedented economic downtrend, which took a major bite out of the UKs collective business community.
Consequently, CBRE data indicates a projected 4.3% decline in average UK office space capital values throughout the course of the year.
But does this mean that the commercial property sector in the UK is devoid of appeal for the foreseeable future? If viewed from an entirely different perspective, could now in fact be the perfect time for a commercial property loan?
A Strictly Temporary Trend
Opinions and projections vary wildly from one analyst or economist to the next, businesses in general have made it clear that their shift to remote working is not something they intend to make permanent.
Many businesses have already brought their workforces back into the office full-time, while others plan to do so as soon as realistically possible. Generally speaking, the long-term outlook for the UK business/commercial property sector is not far removed from the pre-COVID picture.
Low demand for commercial properties is driving prices down, resulting in a buyers market for some savvy investors. While it may be some time before the UKs economy bounces back to pre-COVID levels, it is guaranteed to happen at some point.
Demand for desirable office space in key towns and cities will once again outstrip supply by a significant margin, prices will be driven upwards and those who made strategic investments while costs were comparatively low will reap the rewards.
Funding Options for Commercial Property Investments
The market for commercial property loans has never been broader; options available vary from conventional mortgages and secured business loans through to short-term bridging loans and specialist development finance.
Achieving the best possible ROI on any commercial property investment means ensuring you choose the most appropriate funding solution which suits both your requirements and objectives. At UK Property Finance, we work with an extensive panel of lenders to find unbeatable deals on all types of property bridging loans.
Whether you are ready to start your application or simply considering the potential benefits of commercial finance, we would be delighted to provide you with an obligation-free consultation. Call the team at UK Property Finance to learn more, or email us anytime and we will get back to you as soon as possible.
Author: Craig Upton
