Investment commercial real estate
around the world is set to reach USD300 billion by the end of the year, Jones Lang LaSalle has predicted. According to the real estate consultancy, the sector is likely to enjoy a 40 to 50 per cent increase compared to the previous 12 months.
The news represents a return of investor confidence in property as well as pointing to a strengthening of the commercial sector around the world. This resurgence was led by countries located in the Asia Pacific region, Jones Lang LaSalle states.
Many European destinations were left lagging behind in terms of investment volumes as speculators remained hesitant about the effects of government austerity packages and sovereign debts. However, rental growth is expected to make a comeback in few European markets over the second half of 2010 and 2011.
The report said that the first half of the year had acted as a clear demonstration that confidence among investors is returning adding that "while markets across the globe are strengthening, the last few weeks have shown that regional markets are moving with different dynamics".
- Thursday 30 September 2010