Occupier demand was reported to have risen in the office and industrial subsectors with a net balance of five per cent of respondents reporting an increase in demand for office space and a net balance of 15 per cent reporting that demand was up for industrial. A net balance of -10 per cent of respondents reported a fall in occupier demand for retail space, meaning that overall, occupier demand edged up marginally in Q2 2025 with a net balance of three per cent of respondents in Scotland reporting an increase at all-sector level.

With availability of industrial and office space reported to be constrained, a net balance of 28 per cent of respondents in Scotland anticipate that commercial property rents will rise during the next quarter of the year. Looking at the subsectors, a net balance of 37 per cent expects rents to rise for industrial space and a net balance of 42 per cent expects rents for office space to increase; the highest this balance has been since March 2016.

Capital values are also expected to rise over the next three months with a net balance of 31 per cent of respondents anticipating an increase at all sector level, up from the 11 per cent seen in the survey previous. All three subsectors are expected to experience increases in capital values over the next quarter of the year. A net balance of 37 per cent anticipate a rise regarding office space, 42 per cent for industrial space, and 15 per cent in retail space.

Surveyors remain optimistic on the 12-month outlook for capital values too. A net balance of 13 per cent of respondents in Scotland expect an increase at an overall level. Capital values for both office and industrial space are expected to rise (net balances of 23 per cent and 34 per cent respectively). However capital values in retail are expected to be lower in a year’s time (a net balance of -17 per cent).