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Knight Frank Research has developed a model to analyse the future development implications of this dynamic sector. The results provide a valuable insight into the regional Healthcare markets in England and identify those areas which offer the most potential for successful development in the future.

Activity has increased among UK institutional and retail funds with high street retail assets now one of their key requirements. With the occupational market an ongoing concern, for now at least, interest is focused squarely on prime defensive assets; in essence, well configured units with secure income, located on prime pitches in strong locations. A shortage of buying opportunities has emerged as the key barrier to investment activity for high street retail, as with other sectors. With little pressure on many funds to sell, at best, prime assets will be drip-fed to the market leading to further yield compression over the remainder of 2009. Conversely, we expect yields for assets in secondary and tertiary locations to soften further while investors remain highly risk averse. In the medium term, investor confidence in the wider high street investment market will recover when the prospect of rental growth returns. Significantly, the impact of this recession on consumer confidence and retail sales has been less severe than previously and, as the correlation with household expenditure shows, rental growth is expected to return in 2011. In the meantime, the lack of supply at the prime end of the market will drive investors to adopt a less stringent approach to their requirements, particularly if buying pressure intensifies. We anticipate an increase in transactional activity for assets which are near prime but slightly further up the risk curve, for example properties with riskier covenants, shorter unexpired lease terms or located in good secondary pitches.

Restricted funding appears to have affected other property sectors more severely than the hotel market. Many of the leading clearing banks and other lending institutions are continuing to lend to the leisure and hospitality sectors particularly where the hotel has a proven set of accounts or the operator has a strong covenant strength.

Looking back, 2007 certainly turned out to be an interesting year, with more than its fair share of events, both man made and natural, affecting the market.

Positive rental growth since December 2007 has helped ease falling yield impact on the all property but the May IPD index showed a reversal in this recovery. Falling rental growth for the all property average in May 2008 triggered a further rise in equivalent yields, which led to the yield impact remaining unchanged from April 2008.

With this edition of Housing and the economy confirming a familiar pattern of continuing bad news, most commentators now feel that depressed conditions will prevail for sometime. This therefore poses the question: when will it all end?

In our last publication in February, research compiled by Professor Patrick Minford suggested tentative optimism for a recovery in the housing market in 2010. However, that recovery is not here yet and the market is still in decline, at least in the short-term.

Unsurprisingly, Greater London saw the most increase in house prices in late 2009, tripling even our so-called ‘bullish’ forecasts, due to a lack of supply in the Capital and an ever-increasing demand. However, while we expect London house prices to continue growing, it is likely to be a more measured and sustained growth in 2010, of around 5.45% overall. Most of London’s 2010 growth is likely to take place in the first quarter with a forecast of 4.11%, before further rises of 0.84% and 0.92%, it will then tail off and fall a little at -0.4% towards the end of the year. London will be overtaken in the rate of growth by the South East at 10%, the South West at 11%, Wales at almost 12%, Scotland at 13.4%, Northern Ireland at 14.5% and Yorkshire at 5.6% by the end of 2010.

February’s monthly fall is the second highest in the history of the Halifax index.

Compared to last November, average prices are -16.1% lower.

June’s monthly fall is the eighth in the last 10 months.

•Halifax annual growth falls to -0.9%. •Nationwide average prices down m/m for sixth successive month. •Land Registry records yr/yr falls in two regions. •Inflation outlook limits scope for further interest rate cuts.

This current run of consecutive falls is the longest in the history of the index.

By 2050 the Government aims to have reduced carbon dioxide (CO2) emissions by 60% compared to 2000 levels. This is a major challenge for all, both the business community and householders. Profound changes will be required in order to deliver such a target, both in terms of how people and business operate, as well as the development of the built environment. The major cities in the UK will have a significant role to play if this target is to be achieved, not least given their importance as engines for economic growth. Accordingly, we have examined the top ten commercial centres outside London to see what their contribution to emission levels is currently, and how it would need to change in the future to secure the national CO2 reduction sought by government.