The office sector attracted the largest share of investment in first quarter 2026, according to data from CoStar.
Office investment reached £2.9 billion ($3.9 billion), accounting for 30 percent of total volume, with activity concentrated in larger lot sizes in London and a small number of key regional cities.
Industrial investment totaled £1.8 billion ($2.4 billion), marking the sector’s weakest quarterly outturn in nearly six years.
Retail investment stood at £1.2 billion ($1.6 billion), half of the previous quarter and 60 percent below the five-year quarterly average.
Hotel investment also totaled £1.2 billion ($1.6 billion), although rising energy costs and geopolitical uncertainty present near-term headwinds.
“U.K. commercial property investment totaled £9.7 billion [$13 billion] in the first quarter 2026,” said Grant Lonsdale, senior director of market analytics at CoStar Europe. “This was less than half the volume recorded in la