No Rest for the Weary

London, 13th April 2026 – The Green Street Commercial Property Price Index, which measures pricing of a broad swathe of European commercial properties, was stable in the first quarter of ’26. Mounting pressure from the war-induced energy shock is slowly dripping into CRE fundamentals, affecting rent growth momentum, whilst yields are holding still. Across traditional property sectors, pricing for industrial and residential has grown most in the quarter owing to gradual income uplift. Conversely, office and retail pricing, for B/B+ properties, remains flat. Niche property sector performance was also mixed, as data centre pricing marched one percent higher quarter-on-quarter, while self-storage and hotel pricing was largely unchanged.

“Property prices have held steady year-to-date, but such a sense of stability is up in the air following the start of the war in the Middle East.” said Marie Dormeuil, Senior Analyst at Green Street. “Since then, investors have been held hostage of commodity prices and rates moves, pushing listed real estate equities lower. Direct property prices are unlikely to move higher in the near term, as the outlook for operating fundamentals has deteriorated since the end of February, with the odds of an energy-led recession later in ’26 significantly up.”