The UK Commercial Property Trust has seen a huge cut in the value of its assets in the last three months. Financial Times

The company, one of the largest commercial property investment companies, yesterday revealed that 3.15% had been wiped off the value of its £871m property portfolio in the last quarter.

UK Commercial said it expects net asset value per share to fall by about 3.5% when it announces its trading update next week and that it would buy back shares to control its discount.

Gary Hutcheson of the company’s fund manager, Resolution Asset Management, said: ’While there were some minor pluses in the portfolio, the general trend is down, reflecting the market’s attitude to commercial property.’

’We’ve seen bidders for buildings drop to maybe one, from four or five before. Investors are sitting on the sidelines to see how much the market will fall back.’