THE north-west commercial property market may see gradual recovery this year, but things will continue to be tough.

That’s the view of experts in the regional office of agency DTZ. Office agency director Ken Bishop said 2009 had been a year of “few surprises”.

He added: “As forecast, the occupier market saw a reduction in take-up, and demand held up reasonably well in the circumstances, particularly in the city centre.

“The tough economic conditions led to a highly competitive market with a reduction in headline rentals and increased incentives.

“The forecast for 2010 is simple – more of the same. Any recovery is expected to be gradual and the big threat is from a reduction in public sector requirements.”

Anthony O’Keefe, DTZ industrial director, said: “Economic indicators suggest the freefall has stopped and there is certainly a perception in the market that the worst is over. Whether this is a false dawn or an established positive trend is yet to be tested.

“The industrial market continues to be challenging, with occupier demand down on last year and flexibility and pragmatism being the watchwords of the day.”