Nordic Quarterly Property Snapshot

Lars Flåøyen, Head of Nordic Research and Strategy, comments: “We consider the current time to be very good for investment in the Nordic property markets, but investors should be aware of all layers of risk still remaining.”

We are pleased to bring you our quarterly Nordic Property Snapshot. Key points include:  The Nordic economies have been guided out of recession by increased global demand and huge domestic fiscal stimuli. Going forward, the Nordic economies are likely to feel the benefit of their strong fundamentals.  Vacancy rates have picked up sharply in most Nordic markets, but take-up will not be sufficient to result in falling vacancies until 2011, at the earliest.  Prime yields are likely to have peaked, and are expected to fall in most prime markets in the region in 2010.  Differences in performance will be significant across markets and assets, as tenants, investors and banks will be very selective.