UK commercial property total returns fell 1.4% in July, almost double the fall recorded in June, according to the CB Richard Ellis UK Monthly Index.
The drop compares with a -0.8% total return in June and -0.5% in May.
In the year to date, total returns have fallen 6.1% and, on an annual basis, the total return comes in at -15.4%.
By sector, offices suffered the biggest fall, with a total return of -1.6%.
The industrial sector returned -1.5%, and the retail sector -1.2%.
The pace of capital value falls has continued to worsen with July’s fall coming in at -1.9%. This compares with a 1.3% fall in June and a 1% fall in May.
All Property capital values have now fallen 9.2% so far this year, and 20% since June 2007.
On the rental side, the All Property annual rental growth was 1.8% in July, the weakest since December 2005.
The retail sector recorded its first monthly fall in rents since 2001, at -0.1%.
The offices sector saw further falls in rents at -0.3% and the industrial sector reported rental value growth of 0.0%.
