Global transaction volumes reached US$316 billion for the full year 2010, up 50 percent from the 2009 levels, said global capital market experts at Jones Lang LaSalle (JLL).
After hitting a low of US$209 billion for the full year 2009, global direct commercial property volumes were boosted by an active H1 2010 in major markets and a general surge in Q4 investment activity, according to data from JLL.
Activity in Q4 2010 also marked the first time global investment volumes have surpassed US$100 billion, since the onset of the worldwide recession in 2007.
“At the beginning of 2010, we predicted total global volumes to land near US$300 billion and the fourth quarter surpassed our estimates,” said Arthur de Haast, Head of International Capital Group at JLL.
“Barring further sovereign debt crises or financial shocks, the momentum of 2010 is expected to continue over the next 12 months and we predict global volumes for 2011 should increase by 20 to 25 percent.”
The US and Europe showed the strongest recovery in 2010, having experienced the greatest drop in total volumes in 2008 and 2009.
In the Asia-Pacific region, 2010 volumes totalled US$83 billion, an increase of 25 percent from the previous year, with a number of key markets seeing significant growth in volumes, including Singapore, Australia, China and Hong Kong.
Asia Pacific’s investment volumes in Q4 2010 surged 17 percent quarter-to-quarter to US$23 billion and were up by 24 percent over the same period last year.
The Europe, Middle East and Africa (EMEA) region saw the highest overall volumes among the three regions in 2010, with full year volumes hitting US$136 billion, up 40 percent from 2009.
For the full year 2011, EMEA volumes will likely exceed US$150 billion, up 10 to 15 percent from the 2010 levels, while Asia Pacific volumes are expected to reach US$95 billion, up 15 percent from 2010. The US, on the other hand, will likely see a 40 percent increase in volumes this year to US$135 billion.