There is a background of growing caution in the property sector as Brexit negotiations approach. The real estate investment trust (REIT) is warning that London prices may see a significant decrease in value, especially if the UK ends up not having access to the single EU market. They say that portfolios have already begun to be affected.

Key Takeaways:

• Following the EU referendum, the performance of the UK economy has generally been more resilient than most investors expected.
• However, today’s results from commercial property owner and manager Shaftesbury (LSE: SHB) show that things could be about to worsen for London property prices.
• Furthermore, Brexit has not yet begun. The period from 23 June to today may have included greater uncertainty than prior to the vote, but caution among businesses and investors is likely to increase as negotiations between the UK and EU begin.

“With the exception of a falling pound, the UK’s economic growth rate and employment performance has been surprisingly strong. However, today’s results from commercial property owner and manager Shaftesbury (LSE: SHB) show that things could be about to worsen for London property prices.”

https://money.aol.co.uk/2016/11/29/is-london-immune-from-a-uk-property-crash/