London's commercial property market continued to boom in the
first quarter of the year but further growth is constrained by a
lack of properties coming onto the market, according to estate
agent, Cushman & Wakefield.

£2.75 billion worth of property deals took place in the first
quarter of 2013, down from £3.98 billion the previous year.
International investors still see the capital as a safe haven and
accounted for 71% of the value of total transactions.

Bill Tyser, head of City investment at Cushman & Wakefield,
said:

"Activity remains strong with over £2 billion of transactions
reportedly under offer.  Again much of this activity is
limited to a small number of substantial transactions and whilst
there are concerns over the availability of stock to meet this
intensified demand, there are also signs of profit-taking emerging
from investors who acquire property at the beginning of this
'crisis cycle'."

Meanwhile growth in Edinburgh and Glasgow's commercial property
markets could outperform the UK as a whole this year, according to
another report.

Deloitte Real Estate has predicted "significant" growth in the
rental markets of both Scottish cities. Its UK Key Cities report
outlined an improved take-up of office space in Glasgow and
Edinburgh in 2012.

Deloitte described the "most positive picture" Scotland has seen
for a long time; last year Edinburgh enjoyed its best lettings
performance in four years.

Rents in the Glasgow remained strong, with year-on-year
investment volumes up and completed deals worth a total of £152m.
Increasing demand for Grade-A office space had also led to an
increase in development activity in the capital, with two
speculative city centre schemes currently under way.

Alasdair Ramsay, head of Deloitte Real Estate in Scotland, said:
"Glasgow is one of the first regions outside of London to see any
new development activity, which provides some reason for optimism
for the next 12 months.

He added: "Although there are limitations to the extent of
market recovery we should expect across Scotland this year, it is
the most positive picture we have been able to paint for the region
in some time.

"With positive rental growth and the embers of recovery in
Glasgow's development market, we could well be looking at an even
more positive picture come this time next year."

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