Expected Purchasing Activity in Europe real estate 2013
Total investment turnover in European real estate markets in 2012 was 6% higher than in 2011, largely due to the strength of activity in the final quarter in non-UK markets and according to a survey the investors intentions are to grow the figures for 2013.
Over 360 investors took part in the CBRE 2013 online survey of European Investor Intentions, drawn from across the property investment community. European investor intentions for 2013 point to increased purchasing activity compared to 2012. A clear majority (58%) of respondents in this year’s survey said they expected their purchases in 2013 to be higher than in 2012. This compares with 45% giving the same answer last year. In 2013 as many as 30% of investors expect to be spending over 20% more on investment purchases in 2013 than they did in 2012. The proportion of investors intending to spend less this year than in 2012 dropped to only 6%; the comparable figure in the 2012 survey was 18%. Further evidence of increased investor demand in European markets is given by the finding that 71% of survey respondents expected to be net investors with purchases exceeding sales. Again this is a stronger picture than year when 61% of respondents indicated they would be net investors. These results clearly imply that investors are looking to commit more capital to European real estate in 2013 and there is potential for increased transaction volumes in the coming year. (source: CBRE report - Investor Intentions Survey 2013)