Economic growth in the Eurozone continued to benefit from the low interest rate environment combined with a weaker oil price, thus boosting consumption. Nonetheless, GDP growth has been revised slightly downwards to 1.3% in 2016 and 1.4% in 2017, as exports could be dampened by stronger EUR and global slowdown in emerging markets.
The volume of investment in commercial real estate amounted to € 13.6 bn during Q1 2016. This represented a drop of 33% compared to Q1 2015 that had got off to a flying start. Indeed, with € 20.5 bn Q1 2015 has signed a new record with Central London, Berlin, Frankfurt, Munich, Dublin and Milan exceeding their all-time high volumes. Albeit quieter, the Q1 2016 investment volume remains 10% higher than the long-term average.
Source : BNP Paribas Real Estate