French investors have spent €1.5 billion ($1.76 billion) on German commercial property in the first half od 2017, up from €1.4 billion ($1.64 billion) in the same period in 2016, accounting for 10 percent of all foreign capital invested in Germany, according to research from international real estate adviser Savills.
Activity by French investors has been particularly strong this year as 2016 volumes were inflated by the completion of a few large portfolios, including the acquisition of a hotel portfolio by Fonciere des Régions and the acquisition by Primonial of a large care home portfolio.
While most French investors concentrated on retail and office assets, activity has now diversified into the alternative classes as competition intensifies for German assets with higher yields and opportunities to produce income, according to Savills.
French investors are being driven to invest abroad as the increasing popularity for domestic assets has seen French comme
