According to a recent Cushman & Wakefield report:
“The global property investment market went from strength to strength in the year to June 2014, with volumes rising 17.2% to US$788bn and activity spreading to more and more markets around the world.
A handful of cities do, of course, still dominate, with the top 25 taking a 52.3% market share versus 14.3% for the next largest 50. New York is again top dog, capturing 7% of the global market and US$55.4bn invested. London closed the gap thanks to a 40% increase in activity and is the largest global market for cross border investors. Tokyo meanwhile retook third place with a 30% increase, with Los Angeles and San Francisco completing the top 5.
However, while gateway cities remain the focus of demand, interest in a broader spread of cities is increasingly notable, with the top 25 seeing investment growth of 12% compared to 23% for the rest of the market. Improved confidence and finance on offer as well as tight availability in core cities prompted this broadening in demand, as did an increase in risk taking from both cross border and domestic capital. Risk appetites expanded perhaps most rapidly in the USA, but buyers in Europe and Asia are following suit, particularly where local partners are available.”