The “double-dip” in property values has officially begun, according to the latest CB Richard Ellis monthly index.
The gradual easing of falls in commercial property values ended in May, with all-property capital growth falling to -1% from -0.7% in April.
The all-property total return was also lower, falling from -0.2% in April to -0.5% in May.
The index confirmed the worsening outlook for occupational markets, with rental growth turning negative at -0.1%.
On a sector basis, the Rest of the UK Offices sector was hardest hit, with capital values falling 1.7% for the month, followed by Outer London/M25 offices at -1.6%.
The All Offices, Shopping Centres and Retail Warehouses sectors recorded capital value falls of 1.3%.
