All-Property capital value growth of 3.9 percent in Q1 2022

Capital values increased 2 percent across all U.K. Commercial property in March 2022, according to the latest CBRE Monthly Index. This growth was driven by Industrials and the exceptionally strong performance of Retail Warehouses. In first quarter 2022, capital growth at the All-Property level rose 3.9 percent. During the month, rental-value growth was 0.9 percent. Total returns were 2.4 percent.

In March, Retail capital values rose 2.9 percent. This is the highest capital-value growth recorded for the Retail sector in the history of the index, bringing first quarter 2022 capital-value growth to 4.5 percent. The increase in capital values is predominantly driven by Retail Warehouses, which reported a record capital-value growth of 4.7 percent in March, and 7.5 percent in first quarter 2022. Shops in the rest of the U.K. outperformed South East shops with 1 percent and 0.6 percent increases in capital values respectively. Shopping Centers posted a capital-value growth of 0.3 p