- European commercial real estate market is facing rising costs and post-Covid workplace changes.
- Rapid increase in borrowing costs due to central banks raising interest rates to contain inflation.
- Property prices have already fallen sharply in recent months.
- European real estate values could fall by up to 40% by the end of 2024.
- Lower-grade office buildings are first in line to take losses.
European commercial real estate: the cracks are starting to show
The recent banking crisis has added to fears that credit will become less available and more expensive, just as prices are slumping
Joshua Oliver
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