Global Market Perspective – First Quarter 2014
The world’s dominant commercial real estate markets have moved into 2014 in better shape than at any time since the Global Financial Crisis of 2008-2009. Capital markets are exhibiting remarkable strength and the disconnect, that has emerged over the past two years between a more cautious occupational market, is showing signs of narrowing.
This latest edition of Global Market Perspective presents an encouraging picture of a global real estate market that is regaining its pre-crisis vigour.
As we move into 2014, optimism is certainly the prevailing mood in the global real estate markets, but downside risks remain that could temper activity and suppress confidence during the year. The impact of tapering and rising interest rates on global capital flows is an underlying concern, particularly for emerging markets. In the occupational markets, cost and efficiency are still at the forefront of corporate mindsets, and business sentiment could quickly be dented by renewed macroeconomic instability. Nevertheless on balance, our prognosis for the global real estate market is more positive than at any time since launching our Global Market Perspective in 2008.