Strong foreign exchange rates are just one of the reasons that international property investors are looking for assets in the UK capital's prime areas, it has been claimed. Hugh Best, head of investment management at London Central Portfolio, explained that buyers from places such as South Korea, Singapore and Malaysia "are looking to re-enter the market because of this currency play". He stated that South Koreans in particular are in a good position, as they presently get "less than two dollars to the pound".
Mr Best went on to point out that investors from locations in the Middle East are also showing an increased interest in central London real estate due to the political and economic instability in the their domestic markets at the moment. This is driving them to seek out "a safe haven investment", he concluded. A report published earlier this month by CB Richard Ellis stated that as some investors become more risk-averse, they are likely to target locations like London because its real estate market is "perceived to offer advantages of depth and liquidity".
- Wednesday 24 August 2011