Nordic areas bucking the property investment trend | 26 April 2012
Despite Europe’s investment turnover in commercial real estate falling slightly in 2012’s first quarter, the Nordic region has bucked the trend; its investment turnover growing by almost 50 per cent.
That’s according to data published by CBRE, the global property advisor. It found that on average, the investment turnover of Europe in such properties dropped by 31 per cent to 24 billion EUR (roughly £19bn).
Despite this, Nordic areas managed to avoid this downturn; with Norway in particular doing very well – boasting 2.2 billion EUR turnover. This even Sweden’s turnover during the same period, which is typically the most liquid part of the Nordic region. The head of EMEA Capital Markets at CBRE, Jonathan Hull, spoke to Propertyeu.info about the news.
“The Nordic marketers are increasingly active – government finances are favourable compared with the rest of Europe, as are the prospects for economic growth. Solid fundamentals have driven an increase in the number of foreign buyers looking to enter the region,” he explained.
“Sweden remains a key target for many investors and we are witnessing increasing interest in other Nordic markets.”
Other areas that didn’t fare as well included Central and Easter Europe (CEE). This area’s results were a particular disappointment, given it saw ‘bumper investment’ during 2011 – something that was also true of France, wherein investment dropped quite significantly throughout the beginning of 2012.
CBRE’s figures, which were also cited by Opalesque.com, showed that investment turnover for France in Q1 of 2012 decreased by 74 per cent.
Written by Deborah Bates on behalf of Qube Global Software
While posted by Qube Global Software all views expressed are not necessarily those of the company. All facts are verified where possible directly by the author.
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