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UK property funds prove difficult for investors to exit

Asset managers are enforcing waiting periods as sales slow; values fall on financing costs

(The Wall Street Journal) -- With commercial real-estate values falling, investors in many open-ended United Kingdom property funds are clamouring to cash out.

Many are finding that it isn't that easy. Fund managers can't meet redemption requests and are enforcing waiting periods because sales have slowed to a crawl. Because the funds hold property, not cash, they can't honour redemption requests until they sell some assets.

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