Residential buy-to-let in the North West, London industrial property and retail warehouses are set to be the U.K. property market’s top performers from next year, according to Savills. All three groups are projected to have annualized investment returns of between 8.5 percent and 9.2 percent between 2024 and 2028, with eight types of asset class in total anticipated to see returns in excess of 8 percent.
Savills’ annual cross-sector forecasts suggest a stronger outlook and opportunity for U.K. property investment in 2024 as interest rates steady. But returns will continue to be driven by income potential instead of capital growth.
Savills says that opportunistic investors will be attracted to parts of the retail market by rebased rents and rates and by higher yields, a