The total investment volume in 2013 was €141bn, 22% more than in the previous year. Strong results in the two biggest markets, UK and Germany, were the main contributor, although markets in the periphery performed better as well.
Global cross-border investors have increased their share to 30% of total investment. They are particularly active in the UK and the periphery, where they are playing an important role in the recovery of the investment markets.
The share of the dominating asset class, offices, has decreased slightly to 47% of total investment, while the industrial sector saw the strongest increase of transaction volume.
More investors are looking for opportunities outside the core as the supply of prime properties is constrained and prime yields are at record lows.
The average prime yield for CBD offices in the core is 4.2%, and 6.5% in the periphery. The prime yield gap has been narrowing due to further compression in the core markets as well as in Ireland.
Source : Savills