Austria on the upswing: The outlook for Austrian property markets remains bright
The close economic ties between Austria and neighbouring Germany have, for a long time, extended to the property markets in both countries.
Traditionally, German investors’ appetite for Austrian real estate has generally been explained by low market entry hurdles, including a shared language and strong similarities between the two nations’ legal codes. But while these reasons have lost none of their relevance, they alone do not explain the tremendous current foreign interest in commercial real estate in Austria, which has now extended well beyond just German investors.
In 2017, German investors accounted for a 44 percent share of investment volume in Austrian real estate, making them by far the biggest player in the market. Domestic investors were responsible for another 36 percent, with the rest claimed by additional cross-border capital. Overall, investment volume in the Austrian market grew by roughly €1.9 billion, rising to a total of €5.57 billion.