Global prime rents down by an average of 0.5 per cent

According to the Knight Frank prime global rental index, rents for prime residential properties across the globe fell by an average of 0.5 per cent in the year to March 2016 but some cities saw strong growth.Toronto led the rankings with prime rents rising by 8.9 per cent due to strong demand for prime rental properties, combined with a low vacancy rate for condominium apartments.

The index report says this is despite completions nearing historic highs, which would usually mean an increase in rental supply and downward pressure on prime rents.Indeed, North America continues as the strongest performing region with prices rising by 3.3 per cent on average. Africa has displaced Europe as weakest performing region with rents falling on average by 3.2 per cent annually.