ABSTRACT
This chapter examines the impact of the property crash on property companies, banks and institutional investors. It also discusses why, despite low yields and unattractive investment returns, the property investment sector made such a strong recovery during the late 1970s. The 1974 property crash marked the end of a boom in property investment which had lasted, almost without interruption, since the end of the Second World War. The crash had a severe impact on the property company sector, which did not regain its former importance in the property investment and development markets until the mid-1980s. The 1973174 property crash was remarkable not only in its severity but also in the speed with which conditions turned from buoyant to catastrophic. The property crash led to a considerable reduction in the importance of property companies in both the property investment and development markets.
