UK property will deliver a total return of 9% pa between 2015 and 2019, despite a slow first quarter this year, according to Aviva Investors.

Richard Levis, global real estate analyst at Aviva, said: “Looking ahead, real estate is likely to remain attractively priced relative to other asset classes, especially government bonds, over the next 12-18 months. And given the weight of current demand for UK real estate, further yield-driven capital growth looks probable in the near term with good secondary and regional assets likely to perform especially well.”

Capital growth slowed in the first quarter of 2015, with the IPD quarterly index recording total returns at 2.9%, down on the 4.1% in the fourth quarter of last year.

Levis also said that secondary assets are likely to outperform over the period. “We have been recommending such assets for some time as they can offer attractive yields and the potential to capture the ongoing improvement in the UK’s occupier markets, particularly in the office and industrial sectors.”

The office sector led the way in terms of returns in the first quarter, and retail remained the weakest.

Availability in central London fell to its lowest level since 2002, which drove office rents up in the City and the West End.

Levis said: “In the retail sector, London continues to experience strong occupier demand, driven by the capital’s strong economy, record tourist numbers and high demand from international retailers.”