Market Data

International Beat

England’s Big Deal

Until recently, office acquisitions outside of London were rare. But the sale-leaseback of One Angel Square in Manchester, England, for £142 million, about $217 million, by German-based RREEF Real Estate, signals that foreign investors are moving into smaller international markets in search of high-quality product. Completed in 2012, the 329,218-sf building is considered one of Europe’s most sustainable properties. Overall Europe attracted $40 billion in direct investment in 1Q13, with $11.5 billion spent in the major markets of London, Paris, and Moscow. More than 50 percent of the transactions in those cities were from foreign investors, with North American investors spending $3 billion on European properties in 1Q13.

“Aside from Russia and Turkey, other countries expected to experience double-digit growth in shopping centre floor space by the end of 2014 include Croatia, Bosnia and Herzegovina, Bulgaria, and Ukraine, emphasizing the increasing influence of Central and Eastern Europe.” — Neal Best, associate director of Cushman & Wakefield’s European Research Group

Markets to Watch

Lima, Peru, has one of the world’s tightest office markets, with a 2012 vacancy rate of just 1.1 percent, according to Jones Lang LaSalle. Peru’s 6.3 percent growth rate is benefiting from effective government economic management. Lima’s fast-growing business center will add close to 340,000 sm of office space in the next two years.

Puerto Rico marked its first positive economic growth since 2007, yet the meager 1 percent GDP growth means the island still has far to go to improve its world fiscal standing, according to Jones Lang LaSalle. San Juan’s 2012 office vacancy was 17 percent, with only 5,000 sm absorbed during the year.

Recommended

This Is the Altered Normal

Fall 2020

Esri’s data on consumer behavior, demographics, and employment can help real estate adapt in the COVID-19 world.

Read More

Building Progress

Fall 2020

Moody's Analytics Reis Chief Economist Victor Calanog, Phd, CRE, outlines how construction in many sectors will fail to meet expectations for 2020.

Read More

Market Trends in Commercial Real Estate

Summer 2020

Office Renters Change Priorities in Wake of Pandemic | Recreational Real Estate on the Rise | Case Study: COVID-19's Impact on Eastern PA Big-Box Market | Hospitality Owners Have Reservations as Occupancy Drop | Seniors Housing Responds to Mounting Pressure from Pandemic | Mixed-Use Developments Can Keep It Local | Supply Chain Reacts to Social Distancing | Self-Storage Weathers Early COVID-19 Storm

Read More

The CMBS Stress Test

Summer 2020

The commercial mortgage-backed securities market is particularly vulnerable amid the COVID-19 pandemic, with borrowers and lenders looking for creative solutions to unprecedented problems.

Read More