Investor sentiment and economic conditions improve. In southern Europe, the real estate market will gradually recover between 2016 and 2017 and prices will begin to rise, after several years of falling sales and rents. This was set out in Standard & Poor’s latest report on real estate in EMEA. In the retail sector, owners and tenants in Italy and Spain should continue to benefit from improvements in consumer confidence and increasing employment. Primary international retailers still consider Italian and Spanish cities among the top in Europe. The Italian office market will probably feature some sharp contrasts, with the central business districts recovering faster than the peripheries.