Retail/industrial property continues to outperform

Oversupply in the commercial property sector is pushing yields down, while the retail property marke...

Oversupply in the commercial property sector is pushing yields down, while the retail property market continues to deliver growth. As a result, retail property has performed strongly and industrial property held up well, while office property has performed poorly. Tom Laidlow, head of property at Scottish Widows Investment Partnership, says: 'The weight of money in the market is pulling commercial yields down,' he says. 'If the stock market stays in its present bearish state for long, debt driven buyers could force yields even further down. There is a risk of a dislocation between ...