Scottish Commercial Property Investment Exceeds £2 Billion During 2024
Investment volumes in Scotland’s commercial property market bounced back last year, up 30% on the previous 12 months, as interest rates began to fall and a decisive election result boosted the UK’s status as a safe haven.
Total investment surpassed £2 billion for the year (£2.027 billion), according to Knight Frank analysis of Real Capital Analytics (RCA) data – significantly ahead of 2023’s £1.5 billion and slightly ahead of the £1.9 billion five-year average.
Investment increased across all major commercial property asset types. Hotels had a particularly strong year, more than doubling in 2023 with a rise from £236 million to £488 million – a five-year high. Edinburgh accounted for more than half of hotel deals, at £247 million.
Meanwhile, offices also saw a significant increase from £368 million to £509 million, as interest in the sector picked up. Retail was the largest category by total investment with £710 million – up 7% on £664 million – and industrials rebounded from a five-year low of £292 million in 2023 to £359 million last year.