2014 Looking Good for Global Property Markets

Posted on 30 December, 2013 by Cliff Goodwin

Strong balance sheets and growing business confidence look set to make 2014 an “uplifting” year, for global commercial property markets according to Jones Lang LaSalle.

Next year’s markets could grow by at least 10 per cent with international sales topping $500bn, predicts the firm’s Global Market Perspective Report for the final quarter of 2013. It claims that virtually all major markets are recording sales volume growth which is expected to continue in the months ahead.

Liquidity is also improving and, barring external shocks, LaSalle expects that 2014 global sales volumes could be just 20 to 25 per cent lower than the boom years of 2006 and 2007.

The report says office rental growth is expected to gather momentum, increasing from the current year-on-year one per cent to 3.5 per cent in 2014. There will also be strong demand for luxury retail properties in all major international locations.

The quarter just ending saw the stabilisation of office space demand. Despite this vacancy rates are likely remain elevated throughout 2014. The medium term outlook is for a measured recovery, with strengthening rental growth.

In a separate report, US-based LaSalle Investment Management adds that changes linked to demographics, technology and urbanisation are likely to become key drivers for growth in the global property market.

Populations are ageing while younger people are increasingly drawn to city centre living and businesses are adapting to provide more connectivity in the workplace, its 2014 Investment Strategy Report claims. “This gives investors the chance to exploit opportunities such as healthcare, urban residential projects with good access to work and to shops, and office space that has e-commerce connectivity and sustainability.”




Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.


Recent Posts

Interest Rates Impact on Commercial Property

Commercial Property Investment Outlook for 2023

The best places to stay on the Riviera

The latest property data has identified Newquay as the fastest property seller’s market in the UK

Investing in your garden can increase your property’s value

French Riviera temping high-end homebuyers

How can the ownership rights of my commercial property impact a business sale?

Should I incorporate virtual property viewings permanently?

Investment expected to increase across Asia-Pacific in 2021

UK property industry slows as the conclusion of tax break looms

BNP Paribas cautioned investors on Friday as debt-trading bonanza that increased its earnings this past year

Over 300,000 property purchases fell through in 2020 – we show the most frequent motives and the best way to get your house sale back on track

House Prices in the Capital Surpass £500,000

Optimism from the Bank of England’s chief economist

The most expensive commercial properties.

Businesses operating from shared premises will miss out on grants