In a report released by real estate performance analysts IPD, it has been revealed that commercial property prices have risen for a twentieth consecutive month. A 0.3% increase in March saw the UK values continue on their way up, in what has amounted to a 17% rise since late 2009.

The persistent rise has come after a severe 45% decrease during the economic downturn. The first quarter of 2011 produced 2.3% in total returns in comparison with the 2.2% recorded in the fourth quarter of 2010 according to IPD.

Furthermore, it was announced that retail was the biggest winner, producing total returns of 1% in March. Elsewhere, offices and industrial units produced 0.8% each. However, while incremental increases were being seen for commercial property, all-property rents fell, with office rents dipping for the first time in four months.

This is the first time in over a year that retail property has toppled offices from the top spot.

In another study carried out by CBRE, it was revealed that shopping centres had also improved month-on-month, with a 1.5 % growth in capital values, and total returns of 2%.

However, the data relies heavily on the performance of London’s commercial property market. Outside the capital, the only other city in the UK to have recorded stable property rents, and a steady increase in commercial property is Aberdeen.

According to data compiled by Knight Frank, commercial property in aberdeen has experienced a marke improvement over the past 2 years, and has exceeded 2009 levels of office take-up. By the end of 2010, 263,162 sq ft of office space had been occupied in the northern city.

In other parts of Scotland the commercial property picture is somewhat skewed, with a slight increase in Edinburgh countered by a regression in Glasgow to Q1 levels of 2010.

Across Scotland towards the end of last year, it seemed that a general increase in office space take-up was on the cards, and with the continued improvement in the UK, it would seem that the property market is making significant strides towards a strong recovery.

One worry however, voiced by Anthea To of Knight Frank, is the overall lack of construction projects, and the potential shortfall in Grade A office space as a result. The limited commercial property will result in an upward pressure on rents due to the increased demand as the recovery takes shape.

Harvey McEwan writes to offer information and advice on a variety of areas, from technology to holiday destinations. Read through Harvey’s other articles here to find out more.