German Commercial Real Estate Market
‘An important contribution equal could perish in the new year, because many are still in the holiday’, says Thomas Filor, real estate expert from Magdeburg. Magdeburg, 07.01.2014. Faraman thus playing on the contribution from the trade journal more courage to take risks”of the renowned journalists Reiner Reichel’s. “Reichel warns: to invest only in prime locations has no future in the long term.” What is thematic in the post? First of all, it is clear that the German commercial real estate market is booming. This means including Office and retail buildings, logistics real estate, hotels.
Real estate of this way amounting to EUR 30 billion changed hands last year. This year, at least again so many should be there. The fact is also: the range of attractive objects in the best locations known as 1a-locations is scarce. And with an increasing demand. Analysts from Jones Lang LSalle have calculated that every year with the exception of China the capital of insurers worldwide for facilities are available and Age pension fund grows by nine percent.
These institutions would be required to invest each year newly nine percent to maintain their current rate of real estate, real estate. However you are planning to increase their real estate. This is hardly possible without higher risks, because the safe 1a-locations are largely exhausted as mentioned above -. Reichel urges candidly therefore investors of this kind of thinking to take higher risks’, says real estate expert Thomas Filor. “So also the final sentence reads: but more courage to take risks would be an advantage for many”, he alludes to, that finally yield promises could be kept and the banks at the same time could demand higher interest rates for loans with higher risk. It thus would serve all indeed, where it is important to the author to highlight that higher risks are quite predictable by a variety of activities. It requires just the necessary know-how in the assessment.
