Overseas property investors flock to Oz

by AB26 Feb 2014
Have you noticed a boost from overseas clients? Australia was the fourth highest investment market in Asia-Pacific in terms of volume last year.

According to Cushman & Wakefield, the world's largest privately held real estate consultancy, a record US$487 billion was invested in the real estate sector in the Asia-Pacific region in 2013.

Australia emerged as the fourth highest investment market in volume terms, with total investment volumes being recorded at US$27 billion (AU$30 billion), a rise of 19% year-on-year. 
 
Cushman & Wakefield Australia managing director David Woolford said last year experienced the greatest volume of transactions recorded in Australia since the onset of the GFC.
 
“Ultimately, the level of investment in 2013 could have been greater but for the severe lack of prime stock. We expect the market this year will record an even greater number of sales, as investors move up the risk curve in an attempt to secure assets,” Woolford said.

Real estate investment – including private equity, corporate transactions, institutional, and land – in Asia-Pacific last year increased by around 13% on the previous year, essentially driven by development land sales in China's secondary cities. 

Of the nations surveyed for investment, China (core and emerging markets) recorded the highest volume of investment at US$358 billion, followed by Japan which recorded investment worth US$44.6 billion.
 

 

COMMENTS

  • by Ian Graham 26/02/2014 11:34:19 AM

    Perhaps Dent was not too far wrong when he talks about a property bubble.

    What will happen when the inevitable economic downturn hits China. Will the Chinese investors stop coming? Will they sell up and repatriate money to China?

    We live in interesting times.