New figures by Jones Lang LaSalle show that global investment volumes of commercial property reached $114 billion (£76.2 billion) in the second quarter of 2013.
The report highlights that the commercial sector is continuing to thrive globally with total investment volumes not only showing a year-on-year rise of four per cent, but also a nine per cent increase on the first quarter of 2013. The figures, which cover 60 countries and over 130 cities, also suggest that global volumes have been above the $100 billion (£66.8 billion) mark now for five consecutive quarters, pointing to sector confidence.
Strong performances were recorded in the Americas, with transaction values rising by a mammoth 39 per cent across the quarter, with the US in particular enjoying a 19 per cent growth year-on-year. The largest global markets all enjoyed rises in the first six months of the year, with Japan, Germany, Australia, France and the UK all up by 50 per cent, 43 per cent, ten per cent, six per cent and four per cent respectively, compared to the first half of 2012.
Arthur de Haast, lead director of the International Capital Group at Jones Lang LaSalle, said: "Over the past two-to-three years, we have predicted that more capital would be allocated to direct investment in core property assets and this is now materialising. Institutional, private equity and high net worth individual investors are now consistently bidding on opportunities around the world.
"In addition to this, investors are starting to diversify their portfolios, both in terms of risk and geography, looking for more value added and secondary opportunities; a trend we expect to continue over the short to medium term."
The only shortfall was seen in China, with transaction volumes falling by 20 per cent in the first six months of the year. However, with a number of deals in the pipeline for completeion by the end of 2013, performance is expected to improve dramatically over the coming months.