Across UK commercial property, capital values fell -0.1% in May, according to the latest CBRE UK Monthly Index. Rental values were flat and total returns were 0.3%.

Retail sector capital values decreased -0.6% in May. Rest of UK High Street Shops, Retail Warehouses and Shopping Centres performed worse than the sector average, all recording capital value falls of -0.7% over the month. South East High Street Shops capital values declined ‑0.3% over the last month. Rental values fell -0.2% in May.

Following two consecutive months of outperformance, the Office sector was not the strongest sector in May. Capital values increased 0.1%, the lowest recorded capital value growth for the sector since October 2016. Rental values declined 0.1%, pulled down by Rest of UK Offices (-0.5%), while West End office reported an increase in rental values of 0.2%.

The Industrial sector returned as the strongest performing sector in May. Capital values in the Industrial sector increased 0.2% in May. South East Industrials marginally outperformed Industrials in the Rest of UK across capital growth, rental growth, and total returns. Rental values increased 0.3% across the Industrial sector.