Outside investors fuel European investment rise - CBRE

European commercial real estate investment volumes rose 6% in the second quarter of 2013 compared with Q1, according to new research from CBRE.

The adviser's latest transaction report shows that the value of commercial real estate investment increased to €32.6 bn in the second quarter of the year, up 22% on the year-earlier period and the highest Q2 figure recorded since 2007.

CBRE attributed the increase to the growing number of North American and Middle Eastern buyers entering the European market.

Investment capital from outside Europe accounted for 28% of all transactions during the first six months of 2013. Buyers from North America accounted for 13% of the entire market and 24% of all cross-border transactions during that period.

Investors from the Middle East also increased their investment activity, accounting for 9% of the entire market and 21% of cross-border transactions in H1 2013.

The CBRE report notes that Middle Eastern buyers show a strong bias towards London (nearly 50% of the total) and offices, although there were several large retail properties among the purchases made.