Released on = July 10, 2007, 11:02 am

Press Release Author = Jimwatson

Industry = Real Estate

Press Release Summary = London is undoubtedly the commercial powerhouse of the UK -
and indeed a big player on the world stage. As such, the prices and rents that
commercial properties in the capital can command is sometimes staggering, especially
to the newer investor or one a little further down the food chain.

Press Release Body = London is undoubtedly the commercial powerhouse of the UK - and
indeed a big player on the world stage. As such, the prices and rents that
commercial properties in the capital can command is sometimes staggering, especially
to the newer investor or one a little further down the food chain.

That said, there are many who would advise investors to get into the commercial
property sector whenever and at whatever price they can. Operating in the commercial
rented property sector is viewed by many industry insiders as more expensive
initially, but less of a headache in the long run.

James Cannon, head of property auctions at Savills, recently advised investors of
the benefits of getting into the commercial sector. He pointed out that the landlord
often does not have to be as hands on with the management and upkeep of the
property, which is an important factor for some.

He acknowledged that it can be expensive to enter the commercial property world.
However, at the same time he cited the fact that commercial property investors can
often obtain a fixed-rate mortgage product from banks and building societies as a
benefit and enabling factor. Residential mortgages are more subject to the vagaries
of changing interest rates than commercial mortgages.

Despite the fact it is often possible to obtain a commercial mortgage at a decent
rate, it may still be the case that the investor is unable or unwilling to pay
London prices. This should not deter him or her, as there are many other areas where
a good acquisition can be made and a healthy profit earned.

People may be tempted to look abroad, for instance. The Germany economy has been
revitalised in the last two years, growing by 2.6 per cent in the past 12 months
alone. One notable effect is that German companies are outsourcing less of their
work to other EU companies and this has in turn led to an increased demand for
office space in key German cities.

Closer to home, the industrial northern city of Sheffield has been highlighted as a
potential commercial property investment hotspot by some analysts. According to Buy
Association, developers \"have ambitious plans\" for the city and this is serving to
stimulate the property market.

A spokesman said: \"Over the last five years, Sheffield has been fighting back
against long-term deprivation and is undergoing regeneration. Major development
projects are underway to improve the city centre and the majority of these units
have been purchased off plan by investors.\"

There could be good commercial property opportunities in the city for the canny
investor. Sheffield may present an interesting alternative to the massive expense of
the capital, either as somewhere to gain experience of the commercial property
market in a more entry-level situation, or as a gamble on buying cheap and profiting
from any subsequent boom.


Web Site = http://www.assetz.co.uk/

Contact Details = Assetz House, Newby Road, Stockport, Cheshire, SK7 5DA, 0845 400
7000, linkexchangeseo@gmail.com