Local office and retail rents fall in Q4 of 2008, CBRE report finds

By comparison, Poland registered a prime yield of 6.25 percent, Italy had a 5.8 percent prime yield, while Israel and Bulgaria managed a 9 percent prime yield on the office segment. On retail, the prime rent for Romania stayed at EUR 130 per sqm per month, with an annual total of EUR 1.560, down by 7.14 percent on the previous quarter. The prime yield for retail investments was calculated at 8.5 percent for Romania in the fourth quarter of last year.
There were some glimmers of hope. On the industrial segment, Romania had a prime rent of EUR 4.70 per sqm per month in the fourth quarter of last year, at a prime yield of 9 percent. Unlike retail and offices, industrial rents increased by 4.44 percent in Q4 on Q3.
According to the report, Serbia and the Russian Federation registered some of the highest quarterly drops in rental on the retail market. Serbia posted a decrease of 16.67 percent while the Russian Federation calculated a fall of 23.48 percent in rents in Q4 on Q3.
Prime yields rose on retail, offices and industrial in the EMEA region in the fourth quarter of last year. Rents in the region saw a drop of 0.4 percent for industrial, a decline of 2.1 percent for offices and a raise of 0.4 percent on retail.
Magda Purice