Global Brief

• 31 December 2015
• Property Focus
• 1900 Views

Overseas investors have for the first time overtaken UK institutions to become the largest owners of UK commercial property, new data shows.

The value of portfolios held by overseas owners has more than doubled, up by 129%, over the last decade to £94 billion, according to the Property Industry Alliance.

The increase means that overseas investors now own almost a quarter, 24%, of all commercial property investment in the UK, the Property Data Report 2014 shows, with three quarters of this investment in London.

By contrast the total owned by UK institutions fell by 16% over the decade to £75 billion, representing just under one fifth of the £385 billion invested in commercial buildings.

The report highlighted that of the £683 billion total UK commercial stock, retail is the largest sector by value at £305 billion, followed by offices at £195 billion and then industrial property at £126 billion. Other commercial property, including hotels and leisure, was valued at £58 billion.