Lending that proved suicidal
Article Abstract:
Some experts suggest the UK property industry is cyclical. It was feared secondhand commercial property would need to be refurbished before it would find new occupiers following the property crash in 1991-1993. It was anticipated new buildings would eventually find tenants but the market would have to improve before the redevelopment of old space. Banks loaned over 40 billion pounds sterling to property companies, in 1991, which helped to precipitate the market failure. Many loan agreements had to be reassessed when values fell as they were based on a constant rise in property values.
Publication Name: Estates Gazette
Subject: Real estate industry
ISSN: 0014-1240
Year: 1998
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Piggy-bank instincts might be correct
Article Abstract:
Retailers who choose to rent their property may find they are unable to sublet unwanted buildings or face increasing rents. Those who decided to buy the freehold on their property do not have to find sufficient money to pay their rents and have an asset to set against any future loans. It is possible purchasing the property may actually cost less than paying rent. Some observers suggest retailers do not need to be concerned about the difficulties linked with buying their own property. They will also need to use a great deal of their cash reserves to initially make the purchase.
Publication Name: Estates Gazette
Subject: Real estate industry
ISSN: 0014-1240
Year: 1999
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Inflation depends on how it's presented
Article Abstract:
The language surrounding finance particularly when it relates to property is becoming more and more confusing and ambiguous in the United Kingdom. Inflation is seen as bad, but house price inflation can also be presented as good.
Publication Name: Estates Gazette
Subject: Real estate industry
ISSN: 0014-1240
Year: 2001
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