NEW figures suggest that the commercial property sector across Yorkshire is on the up.
The value of commercial property investment transactions rose by 40 per cent in the second quarter of this year in the region.
The total value of commercial property investment transactions across Yorkshire increased in the second quarter to £172m from £123m in the previous quarter.
The data has been released in commercial property consultant Lambert Smith Hampton’s UK Investment Transaction quarterly bulletin.
Big deals in the second quarter include Threadneedle Property’s acquisition of The Core Shopping Centre in Leeds for £37m and Credit Suisse’s £36.6m purchase of Princes Exchange in the city.
The bulletin shows that the retail sector accounted for 31.4 per cent of total investment in the second quarter with £54m worth of transactions.
The office sector fell from 46 per cent to 33 per cent of total investment in the second quarter at £56m.
The industrial sector accounted for 28 per cent of the market at £49m, an increase of 81.5 per cent compared to the first quarter of 2012.
Abid Jaffry, northern head of capital markets for Lambert Smith Hampton, said: “The Yorkshire investment market remained relatively stable throughout the second quarter of 2012, although there continues to be a lack of stock and there have not been any purchases above £40m within the region this quarter.”
He added: “There is still a great deal of caution within the market due to economic uncertainty and therefore stock levels are likely to remain thin.
“Investor demand remains focused on prime stock and we are still experiencing a considerable yield divergence away from the prime end of the market.”