A couple of months ago, reports were saying that investors were doubtful in making investments in Scotland's commercial real estate following the 2015 independence debate. The resurrection of the Scottish National Party despite its defeat in the 2014 independence referendum sparked qualms on the constitutional future of the nation. But speaking of this, Savills Director Mat Oakley of European commercial research remarked, "Some non-domestic investors are clearly less concerned by the constitutional issues than some domestic investors."
However, despite those concerns, a more recent report shows that Glasgow is leading in terms of commercial property investments. According to Scotsman.com, the total investments in Glasgow's commercial real estate is £5.3 billion over the past decade. With that figure, CBRE says that the city now outshines Edinburgh in the ranking of 12 core cities outside of London that has investments at £4.9 billion between 2006 and 2015 in Scotland's capital.
CBRE has also noted that 60 percent of U.K. commercial real estate dealings is accounted for by areas outside London and the southeast of England, according to Scotsman.com. According to CBRE, "Investors have diversified their property holdings as part of the recent economic recovery with emerging investment sectors such as healthcare and student housing increasing their share of the market. Prior to the financial crisis, these assets accounted for 3 per cent of investment; this has trebled to around 10 per cent of total investment volumes today."
Moreover, CBRE's Head of UK research, Miles Gibson, said, "The UK's core cities face an unprecedented opportunity. Whatever the relative position of individual cities, the ongoing economic recovery provides an opportunity for them all to maximize the hand that they have been dealt and, in some cases, the legacy they have to deal with."
"Volumes of international investment into the UK are now so significant that even London is struggling to absorb it all. The UK's core cities have a unique chance to capitalize on the world's current desire to have exposure to Britain and its property market. It is crucial for the continued success of the UK as a whole that they take it," Gibson further said.
