13/03/2014 – Cinco Días
(…) CB Richards Ellis, one of the greatest real estate consultant firm in the world, assures that Madrid will be the number two in terms of investment target this year (inalterably, London remains the number one). Also, the respondents´opinion proves that Spanish real estate market is the third most popular in the European Union, just after the British and the German ones. Barcelona scores very well and ranks at 10th place among all European cities.
Yesterday, the U.S. consultant firm published an annual report on investment in Europe. A year ago, Madrid was the 9th in the ranking and the Spanish market took place behind the Polish one. The CB Richard Ellis´s report was based on a survey conducted between January 27th and February 6th on 387 representatives of funds, companies and banks specialized in RE investment. (…).
“Vast majority of the investors is planning to spend more money in 2014 than they did in 2013 (up to 20% more, as one third claims). The most remarkable change that occured since the last poll is the growth of interest in the Spanish market (by 19%).” Last year, this market received €5.000 million investment, that more than doubled the amount from 2012.
Miguel Fuster, director of Private Investors & Middle Market in CBRE, says that interest encouraged among investors fueled economy improvement, however there are factors that have not entered the stage yet, like large-scope financing. “Not only vulture funds wish to invest in Spanish market”. (…).
The country risk “we observed last year reduced significantly, although high unemployment rate continues to be a great obstacle”. Fuster has also pointed out the investor´s interest in other Spanish cities, like Valencia, Malaga, Seville or Palma de Majorca.
The U.K.´s intention to leave the EU
(…) The survey´s respondents agree that the decision of David Cameron negotiating currently with Brussels the possible leave of the United Kingdom from the European Union would undermine the investor´s willingness to buy British property. (…) In 2013, almost half of all purchases on territory of the Great Britain were conducted by or on behalf of foreign investors.
Original article: Cinco Días (Alberto Ortín Ramón)
Translation: AURA REE