2021-10-14-莱坊-Investment_Yield_Guide_October_2021_1页_95kb

Prime Yield Guide October 2021 Sector Summary

Retail

• Prime Shops, Regional Cities, Good Secondary, and Secondary/Tertiary retail assets consistently exhibited NEGATIVE sentiment with yields generally around or above 6%.
• Shopping Centres (Four tiers) showed STABLE sentiment. Local schemes (in both challenged and successful forms) had particularly stable yields.

Out of Town Retail

• Both Open A1 and Solus retail schemes generally maintained a POSITIVE trend over the quarter, showing declines in yields.

Leisure

• All three Leisure asset tiers maintained a POSITIVE sentiment and relatively stable yield ranges.

Specialist Sectors

• Car Showrooms, various types of Budget Hotels, Student Accommodation, and Healthcare generally performed POSITIVE over the quarter.
• Assets like the Foodstores (both types) showed variations, but generally remained POSITIVE.

Warehouse & Industrial

• All warehouse and industrial estates (from Prime to Secondary) displayed a positive trend with yields decreasing overall, particularly for shorter tenors.

Offices

• There was divergence in risks and yields across different office grades. Many Prime and multi-let spaces showed a decline in yields (POSITIVE), while sub-tier spaces (like Soho/Fitzrovia) also saw slight declines.

Bonds & Rates

• The guide notes that yields are based on rack rentals and shifted towards reflecting longer-dated debt instruments with slight upward pressure, especially for gilts.

Market Sentiment Indicators

• The report flags a potential negative sentiment for lower-grade retail and real estate. Other asset classes showed more stability or positive momentum.
• Returns are yield-dependent on security, as seen in various assets demonstrating stable or improving net initial yields (NIY).