Pace of global real estate investment recovery picking up: JLL – MEP MiddleEast

Pace of global real estate investment recovery picking up: JLL – MEP MiddleEast

Global real estate investment volumes declined by 28% year-on-year from a record amount of capital markets activity in 2019, according to JLL's recently published Global Real Estate Perspective report.

Full-year transaction volumes totalled $762 billion in 2020, the report showed, with investment volumes reaching $282bn, marking a 17% decrease year-on-year, in the EMEA region.

Global investment volumes were buoyed by strong performance during Q4 2020, which totalled $267bn, an increase of 65% from Q3 2020.

Fourth quarter global investment activity continued the trend of decelerating quarterly declines throughout 2020 -21% year-on-year in Q4 2020 compared to -41% in Q3 2020 and -50% in Q2 2020.

Established markets with sector diversity, transparency, and scale fuelled the Q4 rebound. France, Germany, and the U.S. totalled an aggregate of $150bn, representing an increase of 81% on Q3 2020, during the final quarter.

Gateway markets in Europe and Asia Pacific saw interest pick up in the quarter, where investor demand is improving for centrally-located, larger-ticket assets – particularly core offices.

The global director for Capital Markets Research & Strategy at JLL, Sean Coghlan, said: “As 2020 progressed and the pandemic matured in markets, investors have learned to better navigate the uncertainty. This confidence was reflected in higher levels