A new report from finance company Together says that Birmingham, Manchester and Glasgow offer strong commercial property opportunities – forecasting peak yields and high profits in the next 12 months.
Together says that while London still retains its allure for UK investors, property professionals and developers, these three major cities outside the capital all boast growing interest and commercial property investment; as well as burgeoning appetite for buy-to-let (BTL).
Birmingham
Birmingham’s diversity brings opportunity, with the city holding the potential to be the best for commercial property investment in 2025. A hot bed of jewellery-making for centuries and named a world Craft City – one of only eight in Europe – Birmingham continues to attract new industries, companies and employees, as one of the UK’s fastest growing economies.
A survey by Together revealed 70% of commercial property professionals believe investing in office space across Birmingham presented a good opportunity in the next five years, while the same proportion (70%) said retail units, and 78% said student housing or Purpose Built Student Accommodation (PBSA) presented the best prospect of achieving greater yields.
Together’s internal lending data shows a 38% increase in commercial and buy-to-let mortgages and bridging finance for businesses in the city, with £110million loans in 2024, up from 80million the previous year.
Manchester
Industrious and inventive, Manchester has been at the very heart of commerce in the North for over a century. In 2024, the Northern Powerhouse had a footfall of over 37.5 million visitors* and boasts swathes of student accommodation, start-ups, sales units and residential rental stock, especially as it attracts and retains top talent as a thriving hive for the tech industry.
Indeed, 77% of investors, property professionals and developers believe investing in retail space over the next five years represents a good opportunity. This included bars and restaurants on the high street, retail parks and shopping centres. In addition, 40% said semi-commercial properties, for example a flat above a shop, provided a significant opportunity over the same period.
In the next 12 months, a third (33%) of BTL landlords with properties in Manchester expect to see their rental yields increase by up to 10%, with 19% expecting to achieve between 10% and 25%. A smaller proportion – 8% – said they expected rental yield growth of between 26% and 50%
This positive outlook and forecast is mirrored by Together’s own BTL lending in Manchester, which increased by 92% to £52.5million from 2023 to 2024.
Glasgow
Commerce and the Clyde go hand in hand, so it should come as no surprise that Scotland’s largest city is also its busiest. In 2025, Glasgow city centre continues its biggest transformation in half a century, including the revitalisation of one of the nation’s favourite shopping streets. The UK’s leading professional services firms have taken up top-quality office accommodation, while there is a demand from highly-skilled graduates for office space at innovation hubs across the city and region.
Together’s survey found 80% of investors, property professionals and developers believe Glasgow’s retail offering will provide a good opportunity in the next five years and 28% have seen more high street chains and restaurants cropping up across the city centre in the last 12 months. In addition, 98% of survey respondents have considered semi-commercial properties in Glasgow as an investment opportunity.
This comes as Together’s lending data showed a 31% increase in commercial loans and mortgages in Scotland from 2024 to 2025.
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Ryan Etchells, chief commercial officer at Together, comments:“Our research highlights an overall optimism across the commercial property market. While London continues to retain its appeal for commercial property investors and developers – it’s clear there are regional cities that are becoming increasingly attractive and we would expect this interest and investment to continue over the next five years.
“There is a sense that the commercial property sector has turned a corner, with a shift back to office or hybrid working, business confidence rebounding to its highest level in nine months,, and renewed optimism over growth in the UK’s economy, all positive signs.
“However, it’s crucial property professionals continue to seek out flexible financial support to help them seize opportunities to grow and diversify their commercial portfolios, ensuring they can leverage all available opportunities – and the specialist lending sector is in a prime position to provide the finance needed to achieve their ambitions.”
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