The Advisers/Knight Frank: Real estate transaction volume will increase this year up to EUR 800 million

"We believe that the effects of the global revival of the market will be also felt in Romania. The investment volume on the local market already increased significantly this year (with a forecast of EUR 700-800 million in the end of 2014). Moreover, we expect that the tenants’ activity to constantly increase, following the economic revival and the technology and infrastructure development", has declared Florescu in a press release.

The declaration comes in the context of the launching by the real estate consultancy company Knight Frank of the Global Cities study, which shows that the industries of the new technologies as well as the economic revival will result in a rent growth between 20 pct and 40 pct in the main cities in the world for the next five years.

The study is analysing the most developed cities from the perspective of the office spaces, residential properties but also of the new districts appearing on the map of the metropolis such New York, San Francisco, London or Beijing.

Worldwide, a new wave of the real estate development is expected to back the economic growth, bu 2019 the offer of limited new office spaces together with the increased request of commercial spaces will put pressure on the vacancy rate in large cities, the authors of the study consider. Therefore, the average vacancy rate will drop to only 6.3 pct in top 10 cities in the world, with Tokyo reaching a vacancy rate of 3.9 pct and London with 4.4 pct.

"Our data shows a clear opportunity for investors and developers to exploit the worldwide growing trends of the population to live in the urban area. The global commercial investments in 2009 reached 202 billion dollars and the forecasts show that this volume will increase up to 606 billion dollars by 2015", the authors of the study also said.

In Europe, the total volume of the real estate investments has increased from 103 billion dollars in 2009 to 196 billion dollars in 2013.

According to a study of CBRE, the value of the real estate transactions in Romania has totalised in nine months almost EUR 700 million. (source: zf.ro)