Research Blast COVID-19 European Office Markets Series, Edition 3 – June 2020

Deal flow has returned to most European markets, but heavily focused towards the core end of the risk spectrum. Pricing in this segment of the market appears to be holding up, but discounts expected as assets move up the risk curve. Historically low leverage levels should help prevent forced sales. But rising costs of new lending may stifle a recovery in activity and place outward pressure on yields.