London has been knocked from the top of a list of best European cities for real estate investment for commercial property occupiers and investors for the first time since 2005, according to LaSalle Investment Management, a leading global property fund manager.

Munich has been identified as European city most attractive for investment on a medium term outlook, followed by Paris, according to LaSalle’s 11th European Regional Economic Growth Index.

London’s slippage in the ranking reflects the city’s exposure to the financial downturn compared with other rival business hubs.

Dublin fell from fifth place to 73rd place.

Financial Times