The Big Question: Where Next?
1 It is almost a cliché that real estate capital flows have become increasingly global. As transaction volumes surged worldwide — at least until recently — cross-border capital flows have increased even faster. According to Jones Lang LaSalle’s Global Capital Flows 2008report, global real estate investment increased by 8 percent in 2007, to $759 billion (Ä523 billion), but inter-regional investment grew at more than twice this pace, by 20 percent. Foreign investment now accounts for roughly a third of real estate transactions, up from under a quarter just two years ago. Will this trend continue? Certainly, the pace of real estate investment worldwide has cooled in the aftermath of the credit crunch. Will investors seek shelter within their own borders from mounting global economic and financial storms? Or wil