European commercial property 'will see improvement in 2010'

The commercial property market in Europe is expected to enjoy some improvement over the next 12 months, a new study has revealed.

Research by PricewaterhouseCoopers and the Urban Land Institute (ULI) has suggested that while recovery in the sector is underway, it is set to move forward slowly due to high unemployment and low consumer spending.

However, it also revealed that London is expected to be popular for investment, due to market corrections seen during 2009.

William Kistler, president of the ULI in Europe, the Middle East, Africa and India, said: "Transparency and liquidity attract investors who would not consider other markets, and this is holding true for both London and Paris.

"These markets have strong interest from non-European investors. 2010 is all about playing it safe and avoiding risk."

Recent figures from Jones Lang LaSalle found that investment in retail commercial property across Europe rose by almost 60 per cent in the fourth quarter of 2009.