Chinese Pullback Not Expected To Cause Decline In Real Estate Prices

Buildings downtown

The chief executive of one of the world's biggest real estate companies is confident that a pullback from Chinese investors would not lead to a dip in pricing.

Brookfield Property Partners CEO Brian Kingston told Bloomberg there is still strong investment coming from Europe and the Middle East, which is the driving force behind a global shift from low-yield, fixed-income assets to real estate properties.

Chinese investors, including Dalian Wanda, Fosun, HNA and Anbang, have all been under scrutiny in recent months, with regulators closely investigating their transactions in order to determine how much debt they have used to fund acquisitions. But even with tightened restrictions experts have said Chinese capital outflows are likely to continue at the same rate, just via back channels.

In March, HNA purchased 245 Park Ave. in Manhattan from Brookfield and the New York State Teachers’ Retirement System for $2.21B, one of the largest sums ever paid for a New York skyscraper.

Continue reading this story with a free account

Log in or register
Sign up for more articles like this
Subscribe to Bisnow's National Newsletters
Related Stories

JVP Development Is Betting $37M Of Its Own Money That Frisco Is Ready For Spec Office

Wall Street Impatient For Big Tech Returns On Data Center Spending

As AI Adoption Ramps Up, Half A Million Property Managers Are In The Crosshairs

Treasuries Hover Around 4.7% As Wall Street Questions If Warsh Is A 'Dove In Hawk's Clothing'

Avison Young Had Assets Frozen By Bank Over Unpaid Taxes

Camden Property Trust Sells West Coast Portfolio, Clears $1.5B Target

Churchill Downs Plans To Sell 9 Casinos, Focus On Horse Racing

How Long Island Projects Can Cut Through Red Tape And Community Opposition To Cross The Finish Line

Bringing Stability And Savings To CRE Insurance Through Working Layer

More Hotel Owners In Need Of Cash Are Getting It From The Big Brands

Former Arms Dealer Targeting Heartland Apartment Takeover Files For Bankruptcy

SEC Charges REIT, Its Founders With Alleged $152M Fraud Scheme