Recovery across the worlds' property markets in 2011 is set to continue, with improving performance driven primarily by occupier markets, according to a new report by Cushman & Wakefield.
Unveiled at MIPIM in Cannes, the forecast notes that an increasing focus on the occupier will be a core characteristic within the sector this year, with rent and income taking over from yield compression in driving performance.
According to the report, which monitors investment in commercial property across 56 countries, the total global investment volume climbed 42 per cent in 2010 to reach USD 564 billion in 2010.
"Countries will continue to develop at varying speeds though and investors need to keep their eyes open to the risks they are taking on. They should look to push diversification back up their agendas: by region, country, sector and currency," said Greg Vorwaller, global head of capital markets at Cushman & Wakefield.
For the second year in a row, Asia was found to be the most popular destination for investment, with the region accounting for more than half of all global activity. This was followed by the US and then the UK.