The final quarter saw transaction volumes reach approximately £664 million across 42 deals. This represents a 64% increase compared to the same period in 2024 and stands 40% above the five-year average.

While the wider market lacked consistent momentum earlier in the year, the flurry of high-value deals in the final three months significantly bolstered the year-end position. Across 2025 as a whole, an estimated 110 deals were concluded, totalling £1.602 billion. Although this is slightly down from the £1.685bn recorded in 2024, the figures suggest a market returning to health.

A breakdown of the sectors reveals that shopping centres captured the largest share of the market at 22%, largely due to the year’s standout transaction: Frasers’ £220 million acquisition of the Braehead Shopping Centre from SGS Retail.

Offices followed with a 19% share, while retail warehousing accounted for 15%. The remainder of the market comprised the living sector (13%), alternatives and industrial (10% each), High Street retail (9%), and food stores (2%).

Beyond the headline-grabbing Braehead deal, significant regional activity underscored the market’s resilience. In Edinburgh, Corum purchased Henry Duncan House on George Street for £19.2m, while in Glasgow, Remake Asset Management acquired the Uniqlo flagship store on Argyle Street for £9m. Aberdeen also saw major movement with Alderan acquiring the TotalEnergies logistics facility at Gateway Business Park from Tritax Big Box for £28.55m.

Lismore director Colin Finlayson said: “Quarter 4 was characterised by a selective but increasingly confident investment market, with a small number of high-value transactions, demonstrating resilient demand for best-in-class assets.

“Rental growth, rather than yield compression, continues to underpin performance across favoured sectors such as retail warehousing, logistics and prime retail, supported by a constrained development pipeline.”

Prime high street locations, notably Princes Street and Buchanan Street, are enjoying a revival in investor interest led by private and local capital.

Improving expectations around interest rates are gradually strengthening sentiment, while the return of South African investors and sustained demand for long-let discount food stores further highlight where conviction and liquidity remain strongest in the market.

More quietly, offices are beginning to draw increased attention from opportunistic buyers as occupational markets show signs of improvement.

Mr Finlayson concluded: “Q4 demonstrated that while the market remains selective, confidence is returning for the right assets. Large, high-quality transactions have shown that capital is there when pricing and fundamentals align.

“Looking ahead, improving sentiment around interest rates and continued rental growth in prime locations should help unlock further activity in 2026.”

The full Lismore Quarterly Review is available to download from: HERE