Green shoots of recovery mooted as £2m of commercial property is snapped up at London auction

Evidence of renewed interest in commercial property across South Wales from London investors has been underlined with recent acquisitions.

South Wales chartered surveyors Hutchings & Thomas helped acquire over £2m worth of commercial property assets in a total of five lots at the recent Allsop auction on behalf of two London based clients.

Haydn Thomas of Hutchings & Thomas said: “There appears to be renewed interest in commercial property in south Wales from the evidence of this recent auction. Despite talk of only London attracting money for commercial property, there are some great buys to be had across Wales for the well informed investors, willing to look outside of London. People need to understand that the market has changed not the quality of Welsh investments on offer”

The assets acquired are all located in South Wales in key growth areas, and include office investments in Cwmbran and Merthyr, in addition to industrial properties in Ebbw Vale.

One of the key investors behind the funds, Deanhill Estates, said: “We are confident that the accommodation available will prove attractive to occupiers, and we plan to invest heavily in upgrading the accommodation to enhance each assets profile and lettability. 2012 has been another tough year for the property market, but to finish off with some great acquisitions n Wales we are delighted, and we are hungry for more”.

Haydn Thomas said: “With restrictions on timescales our office was quick to act and provide critical information to our clients on our opinion of value along with future rental income generation, marketability and competition in the area. With this crucial advice our clients were able to make an informed decision to bid at the auction and act prudently. Whilst there is a long way to go we are quietly confident that these acquisitions could be a sign of the revival in the commercial property market in south Wales”