Are the Regions weathering the Brexit storm?


With the uncertainty as to the future of Britain in Europe, we have heard a lot about a cooling of the market in London in both the commercial and residential spheres. Developers have sought to assist investors by including "Brexit clauses" in contracts.

However the figures below suggest that the Brexit effect is more pronounced in London than in the regions, which seem to be enjoying a boost in deals and it appears that the smaller investor and the companies who are based solely in the UK are less affected than the heavyweights.

It is an interesting side-effect of the referendum, although maybe not a long-lasting one.

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the total value of regional commercial property deals in the first quarter, at 4.5 billion pounds ($6.5 billion), was 6 percent above the quarterly average for the last five years, according to commercial property broker Lambert Smith Hampton. This contrasts sharply with London, where the value of deals was 15 percent below the five-year average. "We are quite actively investing in the UK, but in smaller and more regional assets that will be less impacted - if at all - by Brexit," said Rob Wilkinson, chief executive of property investment manager AEW Europe.
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