The Brexit vote may offer a silver lining for UK commercial real estate.
The UK will be Europe’s best performing real estate market over the next five years because UK property yields are less vulnerable to rate hikes than continental peers, according to a report published Thursday by AEW, which managed 87.8 billion euros ($91.5 billion) of property at the end of June. That’s because properties in the UK have been trading at a discount compared with European peers since Brexit and that’s created a buffer.
Real Estate Credit Investments Limited (LON:RECI) is a closed-ended investment company which originates and invests in real estate debt secured by commercial or residential properties in Western Europe, focusing primarily on the United Kingdom, France and Germany.