Germany Property Investment News

German cities among the best in Europe for investment

2008 looks to be a promising year for investors in German real estate, according to ‘Emerging Trends in Real Estate Europe 2008’, which puts four of the country’s cities in the top ten investment markets in Europe. The report, which is published by PricewaterhouseCoopers and the Urban Land Institute, looks at 27 markets throughout European countries and bases its findings on the opinions of almost 500 experts in the real estate industry.

The findings support the many forecasts that have tipped German real estate for growth over the coming years, as the country’s economy has shown growth against a backdrop of instability in international markets. The report states “Despite all the turbulence in the international markets, the German property market is still on the upturn.”

The four German cities that made the top ten investment markets for 2008 were Hamburg, Munich, Berlin and Frankfurt. In particular, all four were pinpointed as cities where demand for residential property exceeded supply, and Hamburg and Munich received high ratings for the potential of office property.

However, it is not just Germany that is tipped for a good year in terms of real estate investment. Indeed, the outlook for the whole of Europe is more optimistic than many might have imagined. The president of the Urban Land Institute, Richard Rosan, notes the confidence in the European real estate markets shown by many respondents, saying “We are seeing a lot of guarded optimism.” In general terms the report noted potentially strong markets for retail properties in southern, central and eastern Europe, and potential across the continent for mixed-use schemes.