Savills has made a prediction for the six key trends that will shape the commercial sector in 2019. Flexible leases will be crucial for landlords that want to look after their tenants the best, whether they want a six-month or 15-year lease, the firm says, adding that this is a continuation of the growth of co-working and serviced offices, which has ballooned over the past three years.

Global capital is expected to continue arriving in London “and we do not expect this to change in 2019.” Retail repurposing is expected to be a major theme for 2019 as landlords with vacant shops will be looking to introduce more mixed uses for retail sites.

Logistics is already the most popular commercial property asset class, and yields have fallen below those of offices and retail for the first time in history. “Occupier and investor demand will remain strong, and industrial developers will start to build upwards to satisfy demand in the most constrained locations.”

London was seen as being most exposed to Brexit, but the strength of tenant demand for London offices has contradicted this view. With only a year’s supply of office space in the City and the West End, investor’s eyes will turn towards how to capitalise on this.

Regional growth: “The major regional cities are generally undersupplied with new office development, and are forecast to see continued employment growth. This, combined with a stronger house price and consumer confidence story than the South East, will keep them high on investors’ wish lists in 2019,” reported Savills.