- Reits represent a shrinking share of purchases
- High interest rates still problematic
Private equity firms are piling in to the London office market, buying buildings at bargain prices as debt-laden real estate investment trusts (Reits) struggle to keep up.
Real estate experts said the London activity could be a sign that the whole UK commercial real estate market is recovering after 18 months of turmoil after interest rates shot up in late 2022. However, they added that most Reits would not benefit from this buying window because interest rates remain high.