The UK's real estate finance market could be at the early stages of a "CMBS revival", according to Knight Frank.

"US banks have been showing interest in restarting CMBS issuance in Europe. The markets we would expect them to show the most interest in are Germany, the Nordics, and the UK," said a market briefing from the agent.

There are encouraging signs that investors are starting to look more carefully at "good" secondary property. However, there is still much that could derail the recovery, including the ongoing turmoil in the eurozone and flat growth in the UK economy, according to the note.