As we look ahead to 2026, the UK property market is poised for a pivotal shift, with offices taking centre stage. According to JLL’s latest Property Perspectives report, office transactions are expected to account for 35% of all UK property deals next year, with up to £15bn deployed into the sector. This signals a renewed confidence in core capital and a more constructive phase for real estate investment.
Drawing insights from Akanksha Soni’s recent article for Estates Gazette, read on for my own market analysis and what they mean for our clients.
Central London and Regional Growth
Central London is expected to capture £10bn–£12bn in office investment, while regional markets such as Bristol, Manchester, Edinburgh and Birmingham could see £3bn–£5bn. With prime rents forecast to reach £60 per sq ft by 2030, regional supply constraints are driving competitive momentum.
What this means: Tightening supply and rising rents create a window for repositioning, refurbishment and selective development. Well-located assets with strong ESG credentials will command premium pricing and faster absorption.
Retail Revival and Logistics Resilience
2026 is set to be the strongest year for shopping centre investment in a decade. Physical retail is forecast to outperform online growth, with £34bn in-store spend versus £29bn online. Meanwhile, logistics continues to thrive, with big-box take-up projected to exceed 15.5m sq ft, the highest since the pandemic boom.
What this means: Retail assets with strong experiential value and catchment fundamentals are back on the radar. For logistics, competition for prime sites will intensify, making early acquisition and planning strategy critical.
Experience, Technology and the Future of Real Estate
As Hannah Dwyer of JLL notes, “Experience is now a key part of how people choose where to live, where to work, where to shop.” The convergence of technology, energy and user experience is reshaping investment priorities and 2026 may well be the year that redefines the UK property landscape.
What this means: Assets that deliver superior user experience through design, amenity, technology and sustainability will outperform. Buildings that lack sufficient investment face the threat of becoming outdated as tenants grow increasingly selective.
The market is turning and opportunity is returning. Offices, retail and logistics are all gaining strength and 2026 could be the start of a new cycle. Now is the moment to get ahead of it.
