2021 will see increased volumes of global capital investing in Europe

Despite the imposition of further travel restrictions in the first quarter 2021, increased allocations to real estate in order to capitalize upon appealing yield spreads over sovereign bonds, as well as a growing trend for partnerships between non-European capital and European-based investment managers, are both likely to positively impact cross-border investment into Europe in 2021, according to Savills.

The international real estate adviser predicts that, although we will continue to see European money focusing on opportunities close to home, there is also the expectation that non-European capital will build upon transaction volumes recorded last year, with European cross-border investment forecast set to see an uptick in activity of 10 percent to 15 percent year-on-year to approximately €120 billion ($144 billion).

Mike Barnes, European research, Savills, said, “Although travel restrictions will continue to impact activity in the first half of the year, we expec