U.S. transactions up, APAC down, while Chinese investors refocus

Global investors are betting big on the U.S. this year. Transactions in the U.S. jumped 30 percent in the second quarter, according to JLL. The bounce in U.S. transactions helped lift total volumes in the Americas 18 percent over the year prior to $79 billion—reportedly the best second-quarter showing since 2007.

The jump helped keep total worldwide volume in the second quarter on par to the same period last year, at $161 billion; this despite volatility in China's equity markets and the debt crisis in Greece, JLL said in a preliminary Q2 report.

Conversely, transaction volumes in the Asia-Pacific region fell 19 percent to $26 billion, brought down by declines in Japan and Australia. EMEA volumes dropped 10 percent to $56 billion.

Meanwhile, China is leading the way in U.S. investment. In the first six months of 2015, China invested about $5 billion in U.S. real estate, about $1 billion more than in all of 2014, Brian Ward, president of capital markets and investment services at Colliers International, told Investor's Business Daily, adding that expectation are for China investments in the U.S. to reach as much as $12 billion this year.

Ward also told IBD that, while CHinese investment has been focused on markets such as New York, San Francisco, Boston, Los Angeles and Houston, it is shifting focus to other markets, including Seattle, Chicago, Hawaii.

Colliers expects the flow of real estate investment out of Asia to jump more than 60 percent this year over last year's record $46 billion.


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