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UK commercial property yields softened in the second quarter, but London offices bucked the trend

Global uncertainty has forestalled further yield compression in most segments recently
CoStar Analytics
August 7, 2025 | 9:32 AM

Average yields moved out across the UK in the second quarter of 2025, reversing some of the previous compression amid tariff uncertainty and potential trade wars. However, London office yields continued to fall, as improving fundamentals and rising rents led more investors to target office buildings in the capital’s best locations.

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