London is the most popular destination for cross-regional investment transaction during 2009 and in the first half of 2010, new research has found. According to CB Richard Ellis (CBRE), the UK capital captured 27 per cent of all foreign purchases during the period.
However, the total level of real estate investment activity has fallen substantially when compared to the boom years of 2006 and 2007, CBRE says. The fall has been as much as 70 per cent on average, although decline in North America has been even greater.
Despite this, other major world cities - such as Paris, New York and Sydney - are also heavily featured in the list of top ten destinations for cross-regional investment and make up a total of 55 per cent of all activity over the period, compared to less than 40 per cent during the boom years.
Jonathan Hull, head of EMEA capital markets at CB Richard Ellis, said: "As the market becomes more stable over the coming months, we expect that the major cross-regional investors will broaden their horizons and that London will become less dominant as a destination for international capital."