Commercial property 'gets £48 million kick-start'

West Midlands-based commercial property has received a multi-million pound boost in the shape of a funding package supplied by a regional development agency.

Advantage West Midlands announced that it is to inject £48 million into the commercial property sector, with a view to spurring more than £190 million of projects into action, by filling funding gaps.

It is understood that commercial property developers will be able to apply for between £100,000 and £9 million in grants, with the application and appraisal process being streamlined in order to help suitable projects get off the ground.

"Gap funding has a positive impact in the short-term, providing valuable construction jobs at difficult developments which would otherwise be unviable to the private sector," commented Mick Laverty, chief executive at Advantage West Midlands.

He added that the move will also secure long-term supply of high-quality floor space for businesses in the region.

In related commercial property news, it has emerged that pension fund managers are set to keep faith with investment in the sector, despite recent falls in value.