Commercial activity rose for the fifth consecutive month in January, although expansion was at its slowest pace in the current sequence of growth.
That's according to figures published by the Savills Commercial Development Activity report, which showed that the overall commercial property sector posted growth of 3.1 per cent in January - down from 10.6 per cent in December.
However, there were marked differences between public and private sector projects, with the 9.7 per cent decrease in public sector activity being the fastest recorded since August last year.
It was the steady rise in private sector growth that meant the market continued to expand, although the slowdown could indicate that greater caution is being employed in the industry.
Retail and leisure assets saw the biggest declines in activity across both sectors, but the fact that the overall market has witnessed growth for five consecutive months was highlighted as a cause for optimism.
"With the growth of refurbishment activity at its highest in three years, and confidence in the future at its strongest level since the start of 2010, it is clear that developers have started 2013 in a positive frame of mind," said Michael Pillow, head of building consultancy at Savills.
"The challenge this year will be retaining that confidence in the face of the inevitable bouncy recovery."
Considering future expectations, the report noted the promising start to the year represented by the figures while also highlighting that the degree of confidence sat at a net balance of 9.2 per cent - the strongest since April 2010.
With the companies monitored by the study claiming that the launch of new projects is expected to result in higher activity over the next three months, developers will be hopeful of continued growth throughout the first half of the year.
As confidence appears to be growing, positive figures are likely to provide a further boost to the outlook of investors in the coming months if market conditions remain stable.