European commercial investment volume to reach 230 billion euros in 2019
Savill, an international real estate consultant, expects European commercial real estate investment volumes to reach 230 billion euros by the end of the year.
This means that for the sixth consecutive year, 200 billion euros will be invested in European commercial property, according to Savills. The firm stressed that this is not the case in the history of the European investment market and that the continent is a safe haven for investment.
According to the international real estate advisor, whilst Germany, the UK and France will continue to attract the lion’s share of investment, Poland (+46%), Denmark (+38%), Finland (+32%) and Portugal (+27%) are all forecast to significantly see commercial investment volumes exceed their respective five year averages in 2019. The US, followed by Singapore and South Korea made up the three largest non-European investor groups in 2018 and are forecast to continue to dominate in 2019.
Lydia Brissy, Director, European Research, Savills, said: “The US remained the major contributor in the European property market accounting for 48% of the non-European volume recorded in 2018 at €27.4bn, with France becoming their main targeted destination followed by the UK and Germany.”
Brissy added, “At the same time, Singaporean investments in Europe almost doubled from €2.9bn in 2017 to over €5.6bn in 2018, accounting for 10% of the total overseas volume and making them the second biggest non-European investor group. South Koreans invested €5.4bn in 2018, up from €4.89 in 2017, the third biggest investor group. While continuing to target offices in CBD locations they have recently broadened their market coverage to non-core countries, notably Belgium, Poland, Italy, Ireland, Denmark and Spain.”
Source: Europe Real Estate
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