With the prospect of monetary tightening coming to an end, we expect government bond yields, and therefore property yields, to stabilise over the remainder of the year allowing investment activity to resume.
Polarisation across the market will be driven by ongoing structural changes and the focus on ESG
credentials. We expect sectors and assets which are well aligned to modern requirements will outperform in capital value and rental growth and careful planning will be critical to avoid ‘stranded’ assets.
