Chinese investors pile into London property market

London's commercial property sector witnessed a sharp surge in Chinese investment in 2016, driven by the weaker pound resulting from uncertainties over Brexit.

Chinese investors bought more than 3.15 billion pounds ($3.9 billion) worth of central London commercial assets in 2016, accounting for 22.5 percent of total central London transaction volumes, compared with their purchase of less than 1 percent in 2006, latest statistics by property broker JLL showed.

Commercial property, mostly office buildings, can generate more than 4 percent net returns for investors, according to estimates by Eric Zhao, an associate director and Chinese capital markets specialist at estate agent Savills.