U.S. Real Estate Market Heats Up For Asian Investors

Househappy —  October 8, 2013 — Leave a comment
GM Building

General Motors Building, Manhattan (Mario Tama/Getty Images via NPR)

Manhattan’s General Motors Building is a 50-story marble wonder, occupying a full city block at 5th Avenue and 59th Street. Considered one of the most valuable office towers in the United States, a large piece of the GM Building was purchased by a Chinese developer in May 2013––the latest example of how the U.S. real estate market is heating up for Asian investors.

From Park Avenue Plaza to the U.S. Bank Building, Asian investors are purchasing premier properties from New York to Los Angeles including office towers, luxury hotels, and high-street retail. According to Dan Fasulo, the managing director of Real Capital Analytics, foreign investment from Asian countries has totaled about $7 billion in 2013 so far, already almost doubling last year’s total of $4.3 billion.

For many, this surge is reminiscent of the late ’80’s, when Japanese investors made a succession of high-profile, inflated purchases from Rockefeller Center to Pebble Beach Golf Course, and were subsequently hit with big losses as the market crumbled soon after. But this new wave of investors have done their homework, says Christopher Ludeman, head of Global Capital Markets at CBRE Group.

The Chinese in particular do a tremendous amount of research and are careful investors, he says. This new wave is mindful of the Japanese experience but ultimately they are investors flush with cash who are ready to diversify––and the U.S. market is looking pretty good.

This article can be found in its original form at NPR.org

Househappy

Posts

From start to finish, Househappy redefines the modern homeownership experience by providing solutions for home search and maintenance. Sometimes life can distract us from proper home upkeep. That’s why we created Househappytrax, a technology tool designed to simplify home management by storing your home’s DNA. We send a trained professional to gather 250+ points of data specific to your house. The app features document storage, seasonal to-do lists and reminders, a maintenance and improvements calendar, discounts on home products and services, and you can even find trusted home services providers in your area -- all in one convenient location, accessible on any device.

No Comments

Be the first to start the conversation!

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s