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Economic activity in Europe moderated in 2018 and growth forecasts continue to be lowered. Looking ahead, the outlook for Germany has been downgraded on the back of a struggling manufacturing sector, and Brexit-related uncertainty continues to colour the UK outlook. Nevertheless, domestic fundamentals remain sound and there are potential signs of green shoots in the Eurozone economy. Looking ahead, we expect demand for offices to remain above the long-term trend. Coupled with the prevailing low supply environment in Europe, this should continue to support rental levels in most office markets across the region.
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17 April 2019