Proplend benefits from commercial property bounce back
Proplend has seen a 45 per cent rise in lending volumes in the year to date against 2021 as the commercial property market recovers from pandemic challenges.
Brian Bartaby (pictured), founder and chief executive of Proplend, said the peer-to-peer lending platform has benefitted from buoyant real estate markets, with commercial property now being “equal or above” pre-pandemic levels, in his view.
He said after suffering from two years of difficulty during the pandemic, commercial property is now seeing relatively stable occupational conditions.
Data from Savills in March has shown that investment volumes in commercial property grew by 35 per cent year-on-year to reach £6.9bn in January and February, and the average prime yield increased to a level last seen in October 2019.
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“In the first quarter of the year, the real estate markets have remained buoyant, they are often seen as a safe haven in times of high inflation and economic turmoil,” Bartaby said.
“The recent rise in interest rates, and the potential for future rises, has most likely already been priced in.
“Having suffered for two years during the pandemic, commercial property is now seeing relatively stable occupational conditions combined with a great deal of rental rebasing having already taken place.
“There is still a fair amount of dry powder in the system waiting to deploy and investment is coming from both on and offshore investors as the UK continues to offer a stable investment haven.”
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