NewsLetter October 2011

Latest trends and market indicators, Danish commercial property market.

So far, the late summer’s financial market turmoil is yet to have a material effect on the Danish investment property market. Substantial funds are still allocated to investments in real property, and it is worth noting that foreign investor activity has seen a sharp increase.

To some extent, one of the remaining concerns is the possibility of prolonged weak European growth – a real possibility, with developments often compared to post-1990 Japan. Therefore, our enclosed NewsLetter October 2011 includes an analysis of total returns on Japanese property investments for the past 20 years, comparing also returns on investments in stocks and bonds. Our analysis indicates that property investments even in a pronounced slump with spells of deflation offer competitive returns.

This NewsLetter includes a survey of property market indicators for rents, yields and vacancy rates in office, retail and industrial/logistics property in Greater Copenhagen, Aarhus and the so-called Triangle Region (Fredericia, Vejle and Kolding). This survey may also be downloaded separately.

Reproduction or citation only with express acknowledgement of source.

NewsLetter October 2011: