Factors pushing up prices are different from boomtime era
Concerns of a bubble in the commercial property sector are premature. Experts claim the phenomenal price increases are underpinned by sound economic fundamentals
COMMERCIAL
Not long ago, the European Central Bank warned against the perils of what’s known in investment circles as the “hunt for yield”. In a climate of diminishing interest rates, returns on financial assets weaken, sending investors on a quest for better returns that could give way to financial stability risks, officials warned in a November report that also noted “frothy” property prices in some countries.
Now, the ECB’s own gamble to kickstart growth ...
