The Current Outlook For Commercial Property Sales In Devon

By Ania Stan

The outlook for 2014 on commercial property sales in Devon and the South West is looking the most promising since the recession. The South West is a fantastically diverse area with a lot to offer various commercial businesses. The care sector in particular has always been strong in the area and has shown better resilience in the recession for both corporate and private operators when compared with the rest of the country. Most importantly, there are many businesses and corporate operators who are looking to the South West as London and the South East is getting too expensive. Looking at commercial property sales in Devon has the added incentive that staff costs are also generally lower in the region.

Investment And Development In The South West

An increase in investment and development has been noted in Bristol and should continue to spread throughout the South West, with the most attractive business locations being along the main M5 motorway access route down to Exeter and beyond.

When the recession hit, it started a long period of stagnation for investment and for lending. This had a particular effect on A1, A2 and B1 commercial properties as the lack of finance and low demand meant little development. Business and property owners can now look forward as commercial property sales in Devon have received a boost as lending has increased to small and medium businesses.

Rental Market Outlook

A reduction in stock has been seen with some A class properties being converted to residential to meet demand. However, opportunities have been created largely from corporate operators interested in refurbishing existing stock. This is having some impact on the rental market where rents could increase because of this lack of stock. The positive is that tenants are currently in a good position to negotiate fixed rate terms for the next three to five years as the deals are not likely to be as attractive in a year or 16 months time.

Looking Forward For 2014

Now would also be a good time to purchase a freehold interest as prices are likely to steadily increase with the growing confidence in the investment market. With lending receiving a boost towards the last quarter of 2013, funding is more possible to make these purchases.

Before looking into commercial property sales in Devon, it is essential to get expert advice from a professional commercial property agent who has specialist knowledge and experience of both the various business sectors and the locations in which you are interested. That way you can be sure you are receiving comprehensive advice before making any decisions.

About the Author:

For more information about a reputable independent commercial property agent regarding commercial property sales in Devon, visit Charles Darrow's website. Details regarding their agents' knowledge and expertise can be found by clicking here.