by business editor Trevor Sturgess

The county's property market is in better shape than elsewhere, according to a new report.

Despite tough economic times and spending cuts, investors are looking at Kent and Medway with increasing confidence.

The Kent Property Market Report 2010, launched today, says high speed rail coupled to regeneration and infrastructure projects such as Kent Thames Gateway and Ashford are stimulating interest at a time when commercial and residential property markets are struggling.

The report, written by Kent County Council and Maidstone-based property experts Cluttons, and produced by inward investment agency Locate in Kent, was unveiled to 200 guests at Princes Park Stadium, Dartford.

It found that the Kent commercial property market has performed "comparatively well" against the UK and other parts of the south east.

Although the Comprehensive Spending Review could have an impact on property, there are hopeful signs. Paul Carter, leader of Kent County Council, said there were "small green shoots" in the property market.

"We are doing better than other places. The market's not good but it's nice to see Kent performing better than the average for the south east and the country."

Jo Stockley, head of policy and communications for RICS South, said: "Although the market needs to recover, there is an emphasis on facing up to the future and a focus on high quality design in place-making and sustainability.

"If any county looks fit for future challenges, and with the resources to succeed, it must be Kent."

Alison Owen, partner with Cluttons said the UK's only high-speed rail link was paying great dividends for the county.

Although commercial rents dipped by 4.8 per cent, Kent out-performed the UK and south east average of -13.7 per cent and -7.7 per cent respectively.

High street rents were hard hit, falling by -5.2 per cent. The report said the outlook was good, thanks to a diverse economy and lack of dependence on any single sector.