• The Scotland all property total return for Q1 2018 was 1.7%, down from 2.1% achieved in the final quarter of 2017, but ahead of the 1.5% return in Q1 2017.
  • On an annualised basis, most sectors in Scotland saw an improvement in total returns. The all property total return increased by 25 basis points to stand at 7.0% for the twelve months to the end of March. This was in contrast to the a general trend for the UK, which saw annualised returns dip lower over the same period.
  • Despite this positive overall picture, performance of the three main sectors (retail, offices and industrials) was little changed. The star performer in the market has been alternatives – a varied mixture of smaller, specialist real estate types, ranging from student accommodation and care homes, to pubs, hotels, leisure and roadside services.
  • The alternatives sector has been taking an increasing share of investment spending in recent years, across the whole of the UK but also in Scotland. In Q1 alone £170m was spent on the alternatives sector in Scotland, well ahead of spending in both the retail and industrial sectors.