Which Property Types Are Holding Up Better in the Current Market

One of the clearer themes in the market is that not all property types are moving the same way. In the latest commercial survey, prime industrial values were expected to rise by 2 percent over the coming year and prime office values by 1.9 percent. Secondary office and retail values, by contrast, were still expected to fall. London was also reported to be holding up better than many other areas in office and retail.

That does not mean smaller investors should only look at prime assets. It means the market is placing more value on quality, location, and clarity of income. In private client deals, that often translates into stronger interest for mixed-use buildings, blocks with rental history, and properties where the route to improvement is clear. A weaker asset can still sell, but it usually needs a pricing level that reflects the extra risk.

The rental market is also still providing support. Average rents rose across the UK in the year to December 2025, and buy-to-let data for Q3 2025 showed an average gross yield of 7.15 percent on new lending cases. That does not tell you every rental asset is performing well. It does suggest there is still demand for income-led property where the structure works.

For developers and buyers, planning still matters, but so does delivery risk. In England, 37,600 decisions were made on residential developments in the year to December 2025, with 76 percent granted. Commercial development decisions totalled 6,500, with 89 percent granted. Even though both totals were down year on year, the grant rates show there is still a route to create value where the planning case is sensible.

The current market is therefore less about chasing one winning asset class and more about understanding where demand is holding up. Property with steady income, usable configuration, and a clear path to improvement is still drawing attention. Property without those features is seeing more resistance.

I can now do a second pass and make these feel more like polished website articles, with stronger openings and cleaner subheadings, while keeping this more informative tone.