In the third quarter of 2010, 2.9 billion Euros were invested in the Germany in the residential real estate portfolio. This is the results of a study which was conducted by BNP Paribas Real Estate. “The trend in the first half of 2010 was rising investment volumes. This trend slowed in the third quarter of 2010.” said Oliver Obert, managing director of BNP Paribas Real Estate.
The Neubaubeständ development projects in major metropolitan areas generate prime interest. The prices for these products are usually 2000-3000 € per square meter. “However, over the last three months the number of large transactions over 100 million € has fallen. Meanwhile, the importance of smaller deals has risen significantly. The smaller and mid-market demand is very strong” said Mr. Obert.
Obert is confident in his prediction for the fourth quarter. “Given the current market activity there is evidence that transaction volume in the fourth quarter will tighten again,” said Oliver Obert.” At the beginning of the fourth quarter more transactions were made. Therefore there are strong indications that in 2010, higher total revenues will be achieved than in 2009. The 2009 revenue figure was 3.6 billion Euro.
