For the second successive quarter, the All Property Average Yield has remained unchanged at 7.5%. With the gilt yield falling 0.2 of a percentage point to 8.2%, the gap between gilts and property has narrowed to a difference last seen in April 1994.
Over the quarter to November, yields in all regions in the retail sector were static. Year-on-year, all regions experienced increases, but the largest of these was only 0.6 of a percentage point - seen in Inner Suburban London, South East, East Midlands and the North.
Apart from Scotland, no region in the office sector experienced a change in its yields during the three months to November. The 0.1 of a percentage point increase in the Scottish yield has been the first increase experienced in this region since May.
As with the retail sector, yields in all regions in the industrial sector were unchanged over the quarter. In the previous quarter, only Scotland saw an increase in its yield.
Average Yield
Nov Feb May Aug Nov Feb May Aug Nov
1993 1994 1994 1994 1994 1995 1995 1995 1995
Shops 7.1 6.7 5.9 6.0 6.0 6.2 6.5 6.5 6.5
Offices 8.4 8.0 6.9 7.0 6.9 6.9 6.9 6.9 6.9
Industrial 9.6 9.1 7.9 7.9 8.1 8.4 8.4 8.5 8.5
All Property 8.7 8.2 7.2 7.2 7.3 7.4 7.5 7.5 7.5
Gilt Yield 7.4 6.8 8.3 8.7 8.8 8.7 8.6 8.4 8.2
Equity Yield 3.6 3.3 3.7 3.8 3.9 4.1 4.1 3.9 3.9
Actual Change
Aug 95- Nov 95 Nov 94- Nov 95
Shops 0.0 0.5
Offices 0.0 0.0
Industrial 0.0 0.4
All Property 0.0 0.2
Gilt Yield -0.2 -0.6
Equity Yield 0.0 0.0
Nov Feb May Aug Nov Feb
1993 1994 1994 1994 1994 1995
All Shops 7.1 6.7 5.9 6.0 6.0 6.2
Central London 5.8 5.4 5.0 5.0 5.1 5.1
Inner Sub London 9.3 8.9 8.4 8.4 8.5 8.7
Outer Sub London 7.7 7.4 6.9 6.9 6.9 7.1
Suburban London 8.5 8.2 7.6 7.7 7.7 7.9
London 7.5 7.1 6.6 6.6 6.7 6.8
South East 6.4 6.0 5.3 5.4 5.4 5.6
South West 6.3 5.9 5.1 5.2 5.2 5.4
East Anglia 6.2 5.8 5.1 5.2 5.2 5.4
East Midlands 6.6 6.2 5.4 5.5 5.5 5.7
West Midlands 6.1 5.7 5.0 5.0 5.0 5.1
Wales 7.5 7.0 6.1 6.2 6.3 6.5
North West 6.7 6.3 5.4 5.5 5.5 5.7
Yorks & Humbs 6.8 6.3 5.4 5.4 5.5 5.7
North 6.9 6.4 5.5 5.6 5.6 5.8
Scotland 7.1 6.8 6.0 6.3 6.3 6.2
Actual change
May Aug Nov Aug95- Nov94-
1995 1995 1995 Nov95 Nov95
All Shops 6.5 6.5 6.5 0.0 0.5
Central London 5.2 5.2 5.2 0.0 0.1
Inner Sub London 9.0 9.1 9.1 0.0 0.6
Outer Sub London 7.3 7.4 7.4 0.0 0.5
Suburban London 8.2 8.2 8.2 0.0 0.5
London 7.0 7.0 7.0 0.0 0.3
South East 5.9 6.0 6.0 0.0 0.6
South West 5.6 5.7 5.7 0.0 0.5
East Anglia 5.7 5.7 5.7 0.0 0.5
East Midlands 6.1 6.1 6.1 0.0 0.6
West Midlands 5.3 5.3 5.3 0.0 0.3
Wales 6.7 6.8 6.8 0.0 0.5
North West 5.9 6.0 6.0 0.0 0.5
Yorks & Humbs 5.9 6.0 6.0 0.0 0.5
North 6.1 6.2 6.2 0.0 0.6
Scotland 6.3 6.4 6.4 0.0 0.1
Nov Feb May Aug Nov Feb May
1993 1994 1994 1994 1994 1995 1995
All Offices 8.4 8.0 6.9 7.0 6.9 6.9 6.9
West End 6.4 6.1 5.4 5.4 5.4 5.4 5.3
Holb/Marylebone 8.3 7.8 7.1 7.1 7.1 7.0 6.8
Central City 6.4 6.1 5.3 5.3 5.3 5.3 5.3
Fringe City 8.3 7.9 7.1 7.1 7.1 7.0 7.0
Central London 7.1 6.7 5.9 5.9 5.9 5.9 5.9
Suburban London 8.4 7.9 7.0 7.0 7.0 6.9 6.9
London 7.4 7.0 6.2 6.2 6.2 6.2 6.1
South East 8.7 8.3 7.0 7.0 7.0 6.8 6.8
South West 9.2 8.9 7.5 7.5 7.5 7.5 7.5
East Anglia 9.3 9.0 7.5 7.5 7.3 7.2 7.3
East Midlands 9.5 9.2 7.9 7.9 7.7 7.7 7.8
West Midlands 9.0 8.6 7.4 7.4 7.3 7.3 7.3
Wales 10.3 9.9 8.3 8.3 8.2 8.2 8.3
North West 10.0 9.5 8.1 8.1 8.0 8.0 8.0
Yorks & Humbs 9.6 9.0 7.6 7.6 7.5 7.5 7.5
North 10.2 9.8 8.3 8.3 8.2 8.2 8.3
Scotland 8.0 7.6 6.5 6.7 6.6 6.6 6.7
Actual change
Aug Nov Aug95- Nov94-
1995 1995 Nov95 Nov95
All Offices 6.9 6.9 0.0 0.0
West End 5.3 5.3 0.0 -0.1
Holb/Marylebone 6.8 6.8 0.0 -0.3
Central City 5.3 5.3 0.0 0.0
Fringe City 7.0 7.0 0.0 -0.1
Central London 5.9 5.9 0.0 0.0
Suburban London 6.9 6.9 0.0 -0.1
London 6.1 6.1 0.0 -0.1
South East 6.8 6.8 0.0 -0.2
South West 7.5 7.5 0.0 0.0
East Anglia 7.3 7.3 0.0 0.0
East Midlands 7.8 7.8 0.0 0.1
West Midlands 7.3 7.3 0.0 0.0
Wales 8.3 8.3 0.0 0.1
North West 8.0 8.0 0.0 0.0
Yorks & Humbs 7.5 7.5 0.0 0.0
North 8.3 8.3 0.0 0.1
Scotland 6.7 6.8 0.1 0.2
Nov Feb May Aug Nov Feb May
1993 1994 1994 1994 1994 1995 1995
All Industrial 9.6 9.1 7.9 7.9 8.1 8.4 8.4
London 8.8 8.4 7.3 7.3 7.5 7.8 7.8
South East 8.6 8.1 7.0 7.0 7.2 7.5 7.5
South West 9.2 8.7 7.6 7.6 7.9 8.2 8.2
East Anglia 9.3 8.8 7.5 7.5 7.8 8.2 8.2
East Midlands 8.9 8.4 7.3 7.3 7.6 8.0 8.0
West Midlands 9.3 8.9 7.6 7.6 7.9 8.2 8.2
Wales 9.8 9.3 8.1 8.1 8.3 8.6 8.6
North West 9.8 9.2 8.0 8.0 8.2 8.5 8.5
Yorks & Humbs 9.7 9.1 7.9 7.9 8.1 8.4 8.4
North 10.3 9.8 8.5 8.5 8.6 8.8 8.8
Scotland 9.9 9.5 8.4 8.7 8.8 8.5 8.6
Actual change
Aug Nov Aug95- Nov94-
1995 1995 Nov95 Nov95
All Industrial 8.5 8.5 0.0 0.4
London 7.8 7.8 0.0 0.3
South East 7.5 7.5 0.0 0.3
South West 8.2 8.2 0.0 0.3
East Anglia 8.2 8.2 0.0 0.4
East Midlands 8.0 8.0 0.0 0.4
West Midlands 8.2 8.2 0.0 0.3
Wales 8.6 8.6 0.0 0.3
North West 8.5 8.5 0.0 0.3
Yorks & Humbs 8.4 8.4 0.0 0.3
North 8.8 8.8 0.0 0.2
Scotland 8.8 8.8 0.0 0.0
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