The Bank of England today warned the commercial property sector could be set for more trouble due to turmoil in the financial markets.

David Doyle, Property Week – 25 Oct 2007

In the Bank’s bi-annual Financial Stability Report, commercial property is identified as vulnerable because of the previous boom in the sector.

The slowing of price inflation after the bullish markets of early 2007 combined with a large development pipeline that may with a potential for over capacity could lead to the cash crisis re-emerging in the property industry, the Bank said – full article

See also: Bank of England Financial Stability Report – 25 October 2007