Jones Lang LaSalle releases new real estate investment report

In 2006 a total of €26 billion was transacted in Continental European retail real estate, up by 77% on 2005 (€14.6bn) and more than three times higher than in 2004, according to new report by Jones Lang LaSalle. The number of transactions in 2006 was up by two thirds compared with the previous year: Jones Lang LaSalle recorded some 420 transactions in 2006 compared with 249 in 2005.

The last quarter of 2006 was particularly active: some €10 billion, nearly 40% of the total volume for the year, was transacted between October and December. Over 200 investors bought retail property in 2006, with the top ten investors accounting for a third of the total investment volume.

The biggest retail property investor in 2006 was ING Real Estate Investment Management, accounting for 6% of total volume and 9% of total shopping centre volume (shopping centres in Southern Europe were a particular focus for ING in 2006). With regards to the outlook for 2007, Will Rowson, Head of European Acquisitions at ING REIM, commented: “We see the market in 2007 remaining just as competitive as it has been for the past 12 months, and therefore having a team of good local people on the ground across Europe is critical to securing product ahead of the market. Active asset management in the retail sector remains the key to driving fund performance.”

You can see full version of the report here.

source : JonesLang LaSalle