London-focused property firm Great Portland Estates on Wednesday forecast a 3%-6% rental growth in its prime office spaces this fiscal year, but warned of a non-uniform recovery after posting a near 7% fall in its property valuation.

Rising interest rates and macro-economic worries have dampened a tentative recovery in the British commercial property sector from pandemic lows, while the office space portfolio has struggled due to an increased shift to remote-working trends.

"London has continued to recover and is evidently busier than this time last year and centrally-located offices are returning to more normal levels of occupation, and the West End is seeing higher numbers of both shoppers and tourists," CEO Toby Courtauld said in a statement.

Great Portland said EPRA (European Public Real Estate Association) net tangible assets (NTA) - a key measure that gauges the value of its buildings - fell 9.3% to 757 pence per share for the 12 months ended March 31.

The overall portfolio valuation fell 6.6% year-on-year to 2.4 billion pounds ($3.03 billion), with office and retail segments declining 7.3% and 4.5%, respectively.

Great Portland's FTSE midcap peer LondonMetric Property Plc posted an about 24% fall in annual EPRA NTA to 198.9 pence per share.

Separately, LondonMetric said it would buy industrials and logistics property firm CT Property Trust Ltd for about 198.6 million pounds. ($1 = 0.7923 pounds) (Reporting by Aby Jose Koilparambil in Bengaluru; Editing by Subhranshu Sahu and Shailesh Kuber)