The total volume of investment around the world this year should increase significantly compared to last year by about 14%. These indicators exceed 1 trillion dollars, as stated in the corresponding study.
Investing began to significantly increase in the fourth quarter of last year, which just signals a positive dynamics along with the further return of confidence to the commercial real estate market. These indicators may change, which is also expected in the near future. In accordance with the data, the overall growth in activity should mainly affect North and South America. This is mainly due to the rapidly increased interest in this real estate market in the field of financial institutions and relevant private individuals along with the increased supply volumes.
In the future, experts predict an increased increase in investment activity in the field of 15-20% in parallel with some minor reductions in capitalization rates using the best secondary market objects. This also applies to gradual restoration of the situation in the tenants market along with the growth of lease rates. Analysts also note that investment activity directly into European commercial real estate in the short term will be quite depressed due to a large shortage and high-quality assets. In general, the growth in this region should be 5%, but the total European trend is going to differentiate from the market to the market, as stated in the study.