UK landlords decline on interest rate hike worries

Balanced Commercial Property Trust

06/07/2023 12:29

** FTSE Real Estate index  .FTUB3510 , which includes
commercial property firms and real estate investment trusts
(REITs), fall as much as 2.5%
    ** Minutes from the U.S. Federal Reserve's last meeting
rekindles concerns of a tighter monetary policy, pushing FTSE
100  .FTSE  index to a three-month low
    ** Rising interest rates lead to a heavier drop in valuation
of properties of commercial landlords, as investment volumes
follow and borrowing costs shoot up
    ** All 28 index constituents, which are currently trading, 
decline
    ** FTSE 100  .FTSE  players Land Securities  LAND.L  and
British Land  BLND.L  lose 3.3% and 2.6%, respectively
    ** Primary healthcare accommodation firm Primary Health
Properties  PHP.L  top pct loser in the index, falling 4.5%
    ** Self-storage space provider Big Yellow Group  BYG.L  and
flexible office-focused Workspace  WKP  down more than 4% each
    

 (Reporting by Aby Jose Koilparambil in Bengaluru)
 ((abyjose.koilparambil@thomsonreuters.com))