Market indicators

Total returns Dec Property 7.1% Equities -13.3% Gilts 3.9% Source: Investment Property Databank, FTSE International Comparative yields Dec Property: initial 7.07% Property: equivalent 8.54% FT all-share: dividend 2.63% Bonds: redemption 4.98% FT real estate: dividend 2.83% IPD monthly index Total return (%) December Quarter to Dec Year to Dec All property 0.7 1.9 7.1 Retail 0.8 2.0 5.7 Office 0.6 1.7 8.1 Industrial 0.8 2.0 8.3 Capital growth (%) All property 0.1 0.0 -0.4 Retail 0.2 0.2 -1.3 Office -0.1 -0.2 0.4 Industrial 0.1 -0.1 0.0 Rental growth (%) All property 0.1 0.3 2.5 Retail 0.2 0.5 1.8 Office -0.1 0.2 3.5 Industrial 0.1 0.4 2.4 Source: Investment Property Databank IPD all-property 12-month performance CB Hillier Parker rent index/average yields (May 1986 = 100) Average yields (%) All property Shops Offices Industrial Rent Yield Rent Yield Rent Yield Rent Yield 1999 Q4 134 6.5 145 5.8 120 6.9 143 7.6 2000 Q1 137 6.5 147 5.8 124 6.9 144 7.6 Q2 142 6.6 150 6.0 128 6.9 147 7.4 Q3 145 6.7 151 6.2 134 6.9 148 7.4 Q4 149 7.0 153 6.6 141 7.2 152 7.5 2001 Q1 152 7.1 154 6.8 145 7.3 153 7.5 Q2 153 7.2 154 7.0 148 7.4 156 7.6 Q3 145 7.3 154 7.0 148 7.4 157 7.7 Q4 154 7.4 155 7.1 146 7.6 158 7.9 Source: CB Hillier Parker Retail prices index (Jan 1987=100) % increase pa 2001 Jan 171.1 2.7 Feb 172 2.7 Mar 172.2 2.3 Apr 173.1 1.8 May 174.2 2.1 June 174.4 1.9 July 173.3 1.6 Aug 174.0 2.1 Sep 174.6 1.7 Oct 174.3 1.6 Nov 173.6 0.9 Dec 173.4 0.7 Base lending rate % 2001 Jan 5.75 Feb 5.75 Mar 5.75 Apr 5.50 May 5.25 June 5.25 July 5.25 Aug 5.00 Sep 4.75 Oct 4.50 Nov 4.00 Dec 4.00 Source: Office of National Statistics, Bank of England