Prime rents suffer largest quarterly drop in a decade

UK prime commercial property rents have suffered the largest fall in a decade, hit by the ongoing decline in demand for high street shops and shopping centres.

Rental values fell by 0.2% in the second quarter this year, the first decrease at the national level since Q3 2012, according to CBRE.

The fall was driven by the retail subsectors, with high street shop prime rents decreasing by 1.1% in Q2, broadly on par with the 1% fall in Q1, with yields rising 11 basis points.

Shopping centre prime rents fell by 1.2%, with yield rising 18