Wealthy Middle Eastern investors rank London alongside New York as their top real estate investment destination location outside the region, according to a survey conducted by real estate consultancy, Cluttons.
Cluttons’ 2016 Middle East Private Capital Survey, which was conducted in conjunction with YouGov, revealed that of the 127 investors surveyed, 11% named London as their top target for investment, while 5% said New York would be their preferred destination, out of 196 global cities.
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However, in terms of the second most popular global property investment destination, New York (7%) was the most popular, ahead of London (4%).
According to the report, 63% of the investors will expand their real estate portfolios in 2016.
Los Angeles joined New York in the US representation in the top 10 target cities. Destinations on the doorstep of the Middle East included Bangalore and Mumbai in India.
More than half (54%) of the respondenst said they prefer residential property as the asset class, of the 46% keen on commercial property, half are keen on office investments and more than a third on retail (36%).
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By GlobalDataThe investors surveyed have or intend to make investments of $1m or more in international property.
Cluttons head of research Faisal Durrani said: "London has always emerged as a strong magnet for investors in times of economic uncertainty. And with the tide turning negative on the global growth outlook, London’s attractiveness is growing ever stronger.
"London isn’t a new investment destination for the UAE investment community. It has historically enjoyed close trading links with the Emirates and was famously referred to as the eighth emirate by Tony Blair and for good reason. The safety and security on offer, combined with the quality of higher education and access to a cosmopolitan lifestyle through property ownership are unmatched and are key pull factors for GCC based HNWI," Durrani concluded.
