JLL forecasts global volumes of €307-384b for 2013

Jones Lang LaSalle is sticking to its forecast of a global real estate investment volume of $450-500 bn (€307-384 bn) for 2013.

Europe, Asia-Pacific and the Americas recorded strong growth in the first quarter of 2013 as preliminary global real estate investment volumes reached $94 bn, according to JLL's capital markets research which is based on data from 60 countries. The real estate investment volumes in Q1 2013 represented an 8% increase over the same quarter in 2012.

Improving confidence in the global economic recovery and continued demand for direct real estate exposure continue to push volumes higher with Germany, Japan, and the US all finishing the quarter on a strong note.

All regions show increases with the Americas, Europe, Middle East and Africa (EMEA) and Asia Pacific (AP) all between 7 and 8% higher than one year ago.

Europe’s three biggest markets - the UK, France and Germany - all contributed to the increase in transactional volumes, with Germany recording investment volumes almost 40% higher than a year ago. This helped drive the regional performance up 8% in dollar and 6% in euro terms.

Based on the Q1 results, JLL said it is maintaining its forecast for full-year volumes to come out at between $450-500 bn, with further growth in quarterly volumes as the year progresses.

Arthur de Haast, head of the international capital group at JLL, said: 'Volumes of almost $100 bn in the first quarter of the year, in what is historically a quieter period, demonstrates the desire investors continue to have for direct real estate investments. Encouraged by a slowly improving global economic environment and rising property values, especially in core cities, the number of assets for sale continues to increase.'