Money Observer, Commercial Property Section (September 2007)

“WINDOWS OF OPPORTUNITY. The recent wobbles in the commercial property market have sent investors scurrying for the exit. But this might represent an opportunity to buy or even to diversify overseas", reports Moira O’Neill.

The experts believe global property tells a more positive tale than the UK. Stephen Davis, Director of Credo Capital, which invests predominantly in continental European Property, says European property is a "great story", because rent reviews are on an annual basis as opposed to every 5 years in the UK. Continental rates rise in line with retail price inflation, whereas in the UK they rise according to the market. "Leases are much shorter than in the UK, however: 9 to 10 years . In Europe returns in double digits and the high teems are to be expected" he says.