0
Global  Real Estate Overview July 2011 Global
Prime Offices - Capital Value Clock, Q2 2010 v Q2 2011 Capital Value growth slowing Capital Value growth accelerating Capi...
Prime Offices – Capital Value Trends, 2007-2011 Capital Values (% QoQ Change) North America – average of 6 markets; Asia P...
Prime Offices – Capital Value Trends, 2007-2011 North America – average of 6 markets; Asia Pacific – weighted average of 2...
Prime Offices – Capital Value Change, Q2 2010 – Q2 2011 % change Americas  EMEA  Asia Pacific Notional capital values base...
Prime Offices – Yield Shift, Q2 2010 – Q2 2011 Basis point change Source: Jones Lang LaSalle, July  2011 Brussels Frankfur...
Prime Office Yields – Global Cities Source: Jones Lang LaSalle, July  2011 Due to differences in reporting metrics across ...
Prime Offices – Rental Clock Q2 2011 Source: Jones Lang LaSalle IP, July  2011 Americas Asia-Pacific EMEA Washington DC , ...
Prime Offices – Rental Clock, Q2 2010 v Q2 2011 Q2 2011 As of Q2 2011 The Jones Lang LaSalle Property Clocks  SM Rental Va...
Prime Offices – Rental Trends, 2007-2011 Rental Change (% QoQ) North America – average of 6 markets; Asia Pacific – weight...
Prime Offices – Rental Trends, 2007-2011 North America – average of 6 markets; Asia Pacific –weighted average of 27 market...
Prime Offices – Rental Change, Q2 2010 – Q2 2011 % change Based on rents for Grade A space in CBD or equivalent.  In local...
Global Office Market Conditions Matrix*, 2011-13 * Relates to conditions in the overall office market of a city.  Conditio...
Prime Offices –Projected Changes in Values, 2011 + 10-20% Capital Values Rental Values Shanghai, Singapore, Sao Paulo Wash...
Offices –Net Absorption, Year to Q2 2011 % of occupied stock Source: Jones Lang LaSalle,  July 2011.  Covers all office su...
Demand Drivers – GDP Change, 2011-2012 GDP Change, % pa  Source: IHS Global Insight, Experian, Jones Lang LaSalle, Confere...
Office Supply Pipeline - Major Markets, 2011-2012 Completions as % of existing stock Source: Jones Lang LaSalle,  July 201...
Office Vacancy Rates - Major Markets, Q2 2011 Source: Jones Lang LaSalle, July 2011 Europe 10.2% Asia Pacific 10.5% Region...
Prime Retail – Rental Clock, Q2 2011 Source: Jones Lang LaSalle IP, July 2011 London, Milan New York City San Francisco, L...
Prime Industrial – Rental Clock, Q2 2011 Source: Jones Lang LaSalle IP, July 2011 Chicago, Dallas, Houston, Los Angeles Pa...
Direct Commercial Real Estate Investment - Annual Trends, 2003-2011 Source: Jones Lang LaSalle, July 2011 US$ billions 0 1...
US$ billions Source: Jones Lang LaSalle, July 2011 Direct Commercial Real Estate Investment - Quarterly, 2007-2011 188 206...
Direct Commercial Real Estate Investment -  Regional Trends % change expressed in USD terms which may differ from % change...
Direct Commercial Real Estate Investment - Largest Markets % change expressed in USD terms which will  differ from % chang...
Direct Commercial Real Estate Investment, 2005-2011 Source: Jones Lang LaSalle, July 2011 +75-80% +25% +15-20% 0 50 100 15...
This presentation is the sole property of Jones Lang LaSalle IP, Inc. and must not be copied, reproduced or transmitted in...
Upcoming SlideShare
Loading in...5
×

Jones Lang LaSalle Q3 2011 Global Real Estate Overview

500

Published on

Received, compliments of Sydney Holt

Published in: Business, Career
0 Comments
1 Like
Statistics
Notes
  • Be the first to comment

No Downloads
Views
Total Views
500
On Slideshare
0
From Embeds
0
Number of Embeds
1
Actions
Shares
0
Downloads
10
Comments
0
Likes
1
Embeds 0
No embeds

No notes for slide
  • European and North American markets have shown very similar trends - peaking in Q2 and Q3 2007 respectively, and falling by 36% and 40% respectively. Asia- Pacific has been more resilient – continued to rise until Q1 2008, fell by 33% to Q2 2009, and has since started to recovery (up 5% in Q3/Q4 2009). Reflects stronger investment market – notably in China/HK. Europe also rebounded in Q4 – up 1.1%
  • Moscow has seen sharpest falls over past year – down 54% HK and Shanghai have recorded positive CV performance following a sharp turnaround since the middle of the year – yield driven
  • Highlights the compression in yields in 2007 – fell to 3.2-4.2% across the global centres Rose by 300 bp in NY; 200 bp in London; 225 in Paris, 130 in Paris; 50 bp in Tokyo Started to fall in London, NY and F ’ Furt in Q4,
  • In contrast to the investment market, AP market has seen sharper falls in rents – down 45% since Q2 2008. Landlords have been more prepared to reduce rents Europe down 17% from peak in Q1 2008 N America down down 18% from peak in Q1 2008
  • Rebound in the final part of 2009 – doubled – particularly in Europe (not only UK, also France, Germany and Netherlands) Slightly more domestic
  • Looking forward we anticipate a 30- 40% in 2010 Americas – coming from a low base – up 50-60% Europe – up 20-30% - more upside Asia – up 30-50% - Asia funds
  • Transcript of "Jones Lang LaSalle Q3 2011 Global Real Estate Overview"

    1. 1. Global Real Estate Overview July 2011 Global
    2. 2. Prime Offices - Capital Value Clock, Q2 2010 v Q2 2011 Capital Value growth slowing Capital Value growth accelerating Capital Values bottoming out Capital Values falling Americas EMEA Asia Pacific Q2 2011 As of Q2 2011 The Jones Lang LaSalle Property Clocks SM Q2 2010 Notional capital values based on rents and yields for Grade A space in CBD or equivalent. In local currency. London Washington DC Toronto, Seoul, Singapore Beijing Capital Value growth slowing Capital Value growth accelerating Capital Values bottoming out Capital Values falling Hong Kong Detroit, Madrid Atlanta, Dallas, Amsterdam Brussels, Stockholm Jakarta, Mumbai, Tokyo Shanghai Milan, Sydney New York, Sao Paulo Moscow Chicago, San Francisco Los Angeles, Berlin, Paris Frankfurt Mexico City Atlanta, Dallas Chicago, Toronto Beijing Sao Paulo, Washington DC Amsterdam New York, Moscow Singapore San Francisco Detroit, Mexico City Los Angeles Berlin, Stockholm Shanghai Hong Kong Brussels, Seoul Madrid, Tokyo Paris, Sydney Mumbai London Frankfurt, Milan Jakarta
    3. 3. Prime Offices – Capital Value Trends, 2007-2011 Capital Values (% QoQ Change) North America – average of 6 markets; Asia Pacific – weighted average of 27 markets: Europe – weighted average of 24 markets Source: Jones Lang LaSalle, July 2011 -20.0 -15.0 -10.0 -5.0 0.0 5.0 10.0 15.0 Q2 2007 Q3 2007 Q4 2007 Q1 2008 Q2 2008 Q3 2008 Q4 2008 Q1 2009 Q2 2009 Q3 2009 Q4 2009 Q1 2010 Q2 2010 Q3 2010 Q4 2010 Q1 2011 Q2 2011 North America Europe Asia Pacific
    4. 4. Prime Offices – Capital Value Trends, 2007-2011 North America – average of 6 markets; Asia Pacific – weighted average of 27 markets: Europe – weighted average of 24 markets Source: Jones Lang LaSalle, July 2011 Capital Value Index (Q1 2007 = 100) 60 70 80 90 100 110 120 Q1 2007 Q2 2007 Q3 2007 Q4 2007 Q1 2008 Q2 2008 Q3 2008 Q4 2008 Q1 2009 Q2 2009 Q3 2009 Q4 2009 Q1 2010 Q2 2010 Q3 2010 Q4 2010 Q1 2011 Q2 2011 Asia Pacific North America Europe
    5. 5. Prime Offices – Capital Value Change, Q2 2010 – Q2 2011 % change Americas EMEA Asia Pacific Notional capital values based on rents and yields for Grade A space in CBD or equivalent. In local currency. Source: Jones Lang LaSalle, July 2011. -20 -10 0 10 20 30 40 50 60 70 Mexico City Dubai Tokyo Madrid Brussels Sydney Chicago Frankfurt Los Angeles Mumbai Paris London New York Stockholm Toronto Singapore Washington DC Jakarta Shanghai San Francisco Sao Paulo Hong Kong Beijing Moscow
    6. 6. Prime Offices – Yield Shift, Q2 2010 – Q2 2011 Basis point change Source: Jones Lang LaSalle, July 2011 Brussels Frankfurt London Madrid Moscow Paris Stockholm Chicago Los Angeles New York San Francisco Toronto Washington DC Sao Paulo Mexico City Beijing Hong Kong Mumbai Shanghai Singapore Sydney Tokyo Q1 2011- Q2 2011 Q2 2010 – Q1 2011 -150 -100 -50 0 50
    7. 7. Prime Office Yields – Global Cities Source: Jones Lang LaSalle, July 2011 Due to differences in reporting metrics across the globe, data are not strictly comparable. % 2 3 4 5 6 7 8 Q2 2000 Q2 2001 Q2 2002 Q2 2003 Q2 2004 Q2 2005 Q2 2006 Q2 2007 Q2 2008 Q2 2009 Q2 2010 Q2 2011 New York Paris Frankfurt London Tokyo
    8. 8. Prime Offices – Rental Clock Q2 2011 Source: Jones Lang LaSalle IP, July 2011 Americas Asia-Pacific EMEA Washington DC , Stockholm, Jakarta Rental Growth Slowing Rents Falling Rental Growth Accelerating Rents Bottoming Out Abu Dhabi Seoul Dubai Detroit Mexico City Madrid Brussels, Los Angeles Amsterdam Rome, Tokyo, Atlanta, Chicago Frankfurt, Johannesburg, Milan, Dallas Delhi Toronto Mumbai Sydney, Berlin, Paris New York , Beijing San Francisco Shanghai S ã o Paulo, Moscow, Zurich London West End Hong Kong , Singapore, London City
    9. 9. Prime Offices – Rental Clock, Q2 2010 v Q2 2011 Q2 2011 As of Q2 2011 The Jones Lang LaSalle Property Clocks SM Rental Value growth slowing Rental Value growth accelerating Rental Values bottoming out Rental Values falling Americas EMEA Asia Pacific Based on rents for Grade A space in CBD or equivalent. In local currency. Paris, Beijing Hong Kong Sao Paulo Shanghai Washington DC Dallas, Toronto Rome, Seoul Rental Value growth slowing Rental Values falling Rental Value growth accelerating Rental Values bottoming out Detroit Atlanta, Chicago Los Angeles New York Stockholm , Tokyo Brussels, Frankfurt, Milan Amsterdam, San Francisco Berlin, Moscow Mumbai, Sydney London, Singapore Q2 2010 Mexico City Madrid Dubai Dubai Dallas Frankfurt, Milan Johannesburg Detroit San Francisco New York, Beijing Atlanta, Chicago Rome, Tokyo Los Angeles, Brussels Sao Paulo, Moscow Mumbai Mexico City Hong Kong Singapore Shanghai Sydney, Berlin, Paris Seoul London Madrid Amsterdam Washington DC Stockholm, Jakarta Toronto Johannesburg, Jakarta
    10. 10. Prime Offices – Rental Trends, 2007-2011 Rental Change (% QoQ) North America – average of 6 markets; Asia Pacific – weighted average of 27 markets: Europe – weighted average of 24 markets Source: Jones Lang LaSalle, July 2011 -10.0 -8.0 -6.0 -4.0 -2.0 0.0 2.0 4.0 6.0 Q2 2007 Q3 2007 Q4 2007 Q1 2008 Q2 2008 Q3 2008 Q4 2008 Q1 2009 Q2 2009 Q3 2009 Q4 2009 Q1 2010 Q2 2010 Q3 2010 Q4 2010 Q1 2011 Q2 2011 North America Europe Asia Pacific
    11. 11. Prime Offices – Rental Trends, 2007-2011 North America – average of 6 markets; Asia Pacific –weighted average of 27 markets: Europe – weighted average of 24 markets Source: Jones Lang LaSalle, July 2011 Rental Index (Q1 2007 = 100) 80 90 100 110 120 Q1 2007 Q2 2007 Q3 2007 Q4 2007 Q1 2008 Q2 2008 Q3 2008 Q4 2008 Q1 2009 Q2 2009 Q3 2009 Q4 2009 Q1 2010 Q2 2010 Q3 2010 Q4 2010 Q1 2011 Q2 2011 Asia Pacific North America Europe
    12. 12. Prime Offices – Rental Change, Q2 2010 – Q2 2011 % change Based on rents for Grade A space in CBD or equivalent. In local currency. Source: Jones Lang LaSalle, July 2011. Americas EMEA Asia Pacific -25 -20 -15 -10 -5 0 5 10 15 20 25 30 35 40 45 50 Dubai Mexico City Madrid Los Angeles Toronto Brussels Frankfurt Paris Tokyo Chicago New York Mumbai Sydney Stockholm London Wash. DC San Francisco Jakarta Shanghai Singapore Hong Kong Sao Paulo Beijing Moscow
    13. 13. Global Office Market Conditions Matrix*, 2011-13 * Relates to conditions in the overall office market of a city. Conditions for prime CBD space may differ from the above. Source: Jones Lang LaSalle, July 2011 Market MARKET Chicago Brussels Beijing Los Angeles Frankfurt Hong Kong New York London Mumbai San Francisco Madrid Shanghai Toronto Moscow Singapore Washington DC Paris Sydney Mexico City Stockholm Sao Paulo Dubai 2011 2012 2013 Neutral Market Landlord Favourable Market 2011 2012 2013 Market 2011 2012 2013 Tenant Favourable Tokyo
    14. 14. Prime Offices –Projected Changes in Values, 2011 + 10-20% Capital Values Rental Values Shanghai, Singapore, Sao Paulo Washington DC, San Francisco London*, New York*, Toronto + 5-10% + 0-5% - 0-5% - 5-10% Paris, Stockholm Mumbai, Sydney Frankfurt, Chicago, Los Angeles Brussels, Madrid Mexico City + 20% Shanghai, Singapore New York*, Toronto Sao Paulo, London* Stockholm, Paris, Frankfurt Chicago, Los Angeles, Mumbai Sydney Brussels, Madrid Dubai *New York – Midtown, London – West End. Nominal rates in local currency. Source: Jones Lang LaSalle, July 2011 Beijing, Moscow, Jakarta, Hong Kong - 10-20% Dubai Moscow, Beijing, Hong Kong, Jakarta San Francisco, Washington DC Tokyo Tokyo, Mexico City
    15. 15. Offices –Net Absorption, Year to Q2 2011 % of occupied stock Source: Jones Lang LaSalle, July 2011. Covers all office sub-markets in each city. Tokyo - CBD-3 kus Americas EMEA Asia Pacific -5 0 5 10 15 20 25 Los Angeles Chicago Frankfurt Madrid Stockholm New York Paris Wash. DC Brussels San Fran. Toronto Sydney London Hong Kong Mexico City Moscow Tokyo CBD Sao Paulo Shanghai Singapore Mumbai Beijing
    16. 16. Demand Drivers – GDP Change, 2011-2012 GDP Change, % pa Source: IHS Global Insight, Experian, Jones Lang LaSalle, Conference Board of Canada, Deloitte Access Economics, July 2011. Americas EMEA Asia Pacific 0 2 4 6 8 10 Madrid Tokyo San Francisco Brussels Los Angeles Paris Chicago London Frankfurt New York Washington DC Toronto Sydney Stockholm Mexico City Singapore Moscow Sao Paulo Dubai Hong Kong Mumbai Shanghai Beijing
    17. 17. Office Supply Pipeline - Major Markets, 2011-2012 Completions as % of existing stock Source: Jones Lang LaSalle, July 2011. Covers all office sub-markets in each city. Tokyo - CBD-3 kus 2011 2012 0 10 20 30 40 50 60 Chicago New York San Francisco Toronto Los Angeles Washington Sydney Brussels Madrid Frankfurt London Paris Stockholm Hong Kong Tokyo CBD Moscow Mexico City Beijing Singapore Dubai Sao Paulo Shanghai Mumbai
    18. 18. Office Vacancy Rates - Major Markets, Q2 2011 Source: Jones Lang LaSalle, July 2011 Europe 10.2% Asia Pacific 10.5% Regional vacancy rates based on 46 markets in the Americas, 24 markets in Europe and 24 markets in Asia Pacific. Covers all office sub-markets in each city. All grades except Asia and Latin America (Grade A only). Tokyo relates to CBD only Americas 17.1% % 0 5 10 15 20 25 Sao Paulo Toronto New York Mexico City Washington DC San Francisco Los Angeles Chicago London Paris Madrid Brussels Stockholm Frankfurt Moscow Hong Kong Tokyo CBD Singapore Shanghai Sydney Beijing Mumbai
    19. 19. Prime Retail – Rental Clock, Q2 2011 Source: Jones Lang LaSalle IP, July 2011 London, Milan New York City San Francisco, Los Angeles Washington DC Chicago Americas EMEA Asia Pacific Moscow , Shanghai Sydney Paris, Mumbai Madrid, Tokyo Dubai Berlin Rental Growth Slowing Rents Falling Rental Growth Accelerating Rents Bottoming Out Beijing Singapore Hong Kong
    20. 20. Prime Industrial – Rental Clock, Q2 2011 Source: Jones Lang LaSalle IP, July 2011 Chicago, Dallas, Houston, Los Angeles Paris, Madrid Amsterdam Singapore Americas EMEA Asia Pacific Atlanta, New York / Northern New Jersey Hong Kong Beijing Shanghai Tokyo London Philadelphia, Frankfurt Warsaw, Sydney Rental Growth Slowing Rents Falling Rental Growth Accelerating Rents Bottoming Out
    21. 21. Direct Commercial Real Estate Investment - Annual Trends, 2003-2011 Source: Jones Lang LaSalle, July 2011 US$ billions 0 100 200 300 400 500 600 700 800 2003 2004 2005 2006 2007 2008 2009 2010 2011 Projection Asia Pacific EMEA Americas
    22. 22. US$ billions Source: Jones Lang LaSalle, July 2011 Direct Commercial Real Estate Investment - Quarterly, 2007-2011 188 206 203 161 137 102 92 48 41 35 64 70 66 73 69 114 95 103 0 50 100 150 200 Q107 Q207 Q307 Q407 Q108 Q208 Q308 Q408 Q109 Q209 Q309 Q409 Q110 Q210 Q310 Q410 Q111 Q211 Americas EMEA Asia Pacific
    23. 23. Direct Commercial Real Estate Investment - Regional Trends % change expressed in USD terms which may differ from % change expressed in local currency Source: Jones Lang LaSalle, July 2011
    24. 24. Direct Commercial Real Estate Investment - Largest Markets % change expressed in USD terms which will differ from % change expressed in local currency Source: Jones Lang LaSalle, July 2011
    25. 25. Direct Commercial Real Estate Investment, 2005-2011 Source: Jones Lang LaSalle, July 2011 +75-80% +25% +15-20% 0 50 100 150 200 250 300 350 Americas EMEA Asia Pacific US$ billions 2005 2006 2007 2008 2009 2010 2011 Projection
    26. 26. This presentation is the sole property of Jones Lang LaSalle IP, Inc. and must not be copied, reproduced or transmitted in any form or by any means, either in whole or in part, without the prior written consent of Jones Lang LaSalle IP, Inc. The information contained in this publication has been obtained from sources generally regarded to be reliable. However, no representation is made, or warranty given, in respect of the accuracy of this information. We would like to be informed of any inaccuracies so that we may correct them. Jones Lang LaSalle does not accept any liability in negligence or otherwise for any loss or damage suffered by any party resulting from reliance on this publication. Contact: Jeremy Kelly National Director Global Research Tel: + 44 20 3147 1199 [email_address]
    1. A particular slide catching your eye?

      Clipping is a handy way to collect important slides you want to go back to later.

    ×