The Times has reported that local authorities are investing heavily in commercial property in an attempt to replace lost revenue from government cuts. This drive has led to some areas seeing a 1/3rd of sales being to a local authority. 

The Times has expressed that this expansion in council investment is arguably building up risks for the future due to over exposure to one market. 

Like all investors it will be important for local authorities to maintain a diverse range of investments. 

Whether councils are opening themselves up to liability or are wisely diversifying their investments remains to be seen. All in all, this is good news for sellers of commercial property as more buyers become active in this market.