The Washington D.C.-based Association of Foreign Investors in Real Estate (AFIRE) released its 24th annual survey of members on Monday, according to Houston Chronicle. Conducted by James A. Graaskamp Center for Real Estate, Wisconsin School of Business, the AFIRE survey shows that New York City still remains the number one most desirable location, globally and in the U.S., for foreign investment on commercial real estate.
According to Business Journal, AFIRE has nearly 200 members, representing 21 countries, which are among the leading international established real estate investors in the world. While the survey among these members show New York at the number one spot for the cities in the U.S., Seattle isn't too far behind at fifth place. Tied, with Boston and previously at the number eight spot last year, Seattle is now considered one of the top five U.S. cities for foreign commercial real estate investment.
AFIRE chief, James A. Fetgatter, said that the United States is an ideal place for foreign investment as the real estate basics are ample while the economy in its cities are growing strong. According to the survey, 60 percent reportedly agree that he U.S. provides the most stable and secure real estate investment while 46 percent of respondents believe that the best opportunity for capital appreciation is in the U.S.
According to Houston Chronicle, the survey also shows that apartments and industrial real estate are the most preferred types of property for foreign investors to put their money into. Those two are then followed by retail, office and hotel industries.
But what put Seattle on the 5th spot this time? The Asian investors are said to have become popular in the area with Hong Kong-based Gaw Capital Partners buying the Seattle's tallest skyscraper, Columbia Center, for $711 million last year. There is also a German company, Union Investment, which last month shelled out $299 million for two Amazon-occupied structures in the South Lake Union area. Union Investment's Martin Bruhl reportedly said Seattle is a striking place because it is a fast-growing city with a lot of well-educated people.
