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Is the commercial property sector in recession?

Downbeat forecasts from earlier in the year appear justified as the after-effects of COVID-19, the energy crisis and inflationary pressures all take their toll on confidence.

The last RICS Global Commercial Property Monitor in July suggested that the sector was at the start of a downturn; the latest report confirms that with three out of four world regions returning substantially weaker findings.

Globally, 59% of respondents believe that their country has entered a downturn compared to 48% in Q2, with the figure rising to 75% in Europe. Only the Middle East and Africa (MEA) region has a positive outlook with 62% of respondents believing that their countries are on an upturn or at the peak of the commercial property cycle, compared to 53% in Q2.