Posted on: October 14, 2016
The US economy is recovering steadily, creating the perfect conditions for foreign investors to invest in US real estate. In fact, as the economy continues to strengthen, foreign investment is quickly becoming one of the major factors driving the real estate market in the US today, with smart investors around the world capitalizing on immediate cash flow benefits and new opportunities for capital appreciation.
This trend is likely to continue. As a recent article in RE Journals states, “There is plenty of uncertainty across the globe. But commercial properties in the United States, because they are so stable these days, offer overseas investors a safe harbor for their capital.”
Respected sources such as Forbes, The Street, and The Ledger have all released articles in the past two months confirming this trend. Brian Bailey, senior financial policy analyst for commercial real estate at the Federal Reserve Bank of Atlanta, said in The Ledger that “foreign investment in U.S. commercial real estate totaled $75 billion in 2015, more than twice the amount seen 10 years earlier”. Bailey goes on to mention that Florida markets – our main areas of focus – are attracting more interest from global investors.
As Forbes discusses, Chinese investors have been keenly purchasing commercial real estate in the US in 2016 with particular interest in offices and hotels. “We only expect this trend will continue in the years ahead, as Chinese firms seek to diversify their interests outside of China,” says Xinyi McKinny, Cushman & Wakefield’s senior managing director.
We encourage you to review these articles for a complete perspective:
- Foreign investors still love U.S. commercial real estate – RE Journals
- Foreign investors turning more attention to Florida – The Ledger
- Why Chinese Companies Are Snapping Up U.S. Commercial Property Investments – Forbes
- 5 Reasons to Invest in U.S. Real Estate Post-Brexit – The Street
These articles reinforce that now is the ideal time for sophisticated investors to take advantage of US commercial real estate and this unique opportunity for growth. Investors can diversify their portfolios with the peace of mind that US commercial properties are presently considered a safe haven for global investing.
MSR Holdings Inc. acquires exclusive commercial real estate investment opportunities in the US and Canada, currently focusing on Orlando, Florida. Contact us today to discuss becoming one of our select investors.
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