Despite this fall in confidence, all groups remain committed to investing in the sector and are keen to source opportunities that can add long term value and this might be symptomatic of a perception that the market is near the bottom, the latest Commercial Property Confidence Monitor produced by Lloyds Bank Wholesale Banking and Markets and in association with the Investment Property Forum.

Major businesses and London based medium to large businesses have the greatest appetite for new investment in the sector over the coming three to six months. Major businesses have become more positive, in line with August 2011 expectations, with 70% of respondents aiming to increase commitment and 10% looking to divest.

It also shows that London based medium to large businesses are looking to take advantage of attractive valuations with 4% expecting to invest and just 4% planning to divest.