A net balance of -5% of Scottish respondents noted that overall occupier demand fell through the third quarter. 

Additionally, a net balance of -7% of respondents noted a drop in demand for office space, down from the net balance of 14% in the survey for the second quarter. 

A total of 7% noted a rise in demand for industrial space.

On the retail side, a net balance of -15% of Scottish respondents reported that there was a decrease in demand for retail space, which is less negative than the -25% seen in the survey before. 

Scottish respondents were feeling relatively positive about rental growth, with a net balance of 20% of respondents anticipating that rents will increase over the next three months at an all-sector level. 

This is a slight decrease from the net balance of 32% that was seen in the previous survey.

John Duffy of Colliers International in Glasgow said: “High street and shopping centre values are stable. 

“There is upward pressure on retail park values”.

Leigh Porteous of DM Hall in Dunfermline said: “The market has slowed in the last few months with fewer enquiries. Values are not yet affected, but it will take time to reflect.”

Commenting on the UK picture, Tarrant Parsons, head of market research and analysis at RICS, said: “The latest survey results point to a more challenging backdrop for the commercial property market, with the investment side bearing the brunt of higher borrowing costs following the recent rise in gilt yields to their highest levels in almost two decades. 

“As financing conditions have tightened, expectations for capital value growth have softened, particularly in the near term.”

Parsons added: “That said, market conditions remain far from uniform. Occupier demand has proven relatively resilient, albeit somewhat less robust than in the previous quarter. 

“Prime offices and industrial assets continue to outperform, with respondents still anticipating rental growth and modest capital value appreciation across these segments over the year ahead.”