Sunday, July 1, 2012

Branson

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A short while ago the region was full of hope and expectation that the economy was improving and with it the commercial property market. But it has gone quiet and the livelier mood of the second half of 2011 has evaporated. It is hard to be exact about the reason but obvious candidates are the Eurozone crisis and its effect on the UK together with a period of clumsy administration by the government. That applies to the majority of towns around the Northern Home Counties, although the mood improves closer to London. Much of that is due to the Olympic Games but there is also the real fact that the whole of the capital has been in a more dynamic phase than the rest of the country. That is fine and we must hope that Olympic inspired activity translates into better markets throughout the wider area.

Even so, the fundamentals throughout the region have not changed and the shortage of new development will impact on both the industrial and office markets in due course so hindering economic growth. Sadly, this very real problem is not understood by politicians and is worsened by the reluctance of banks and financial institutions to provide funds for new schemes.

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