Except the shouts in Spain and Italy's industrial real estate halls, it's all over. All of these marketplaces have disappeared. The latest data have been published by Real Estate Analytics, located in New York City.
The number of transactions in both nations decreased by more than 90% in May, June and July. In Spain in the second quarter just three agreements were made, compared to 58 in the first quarter. companies
The commercial immobilization market in Spain was formerly one of Europe's most competitive. Spanish banks currently keep unsold commercial property reserves for eight years, according to statistics previously published. Investors in Spain and Italy are not interested in troubled assets. Credit rates have also substantially increased.
The situation in Italy is similar. Only two agreements were concluded in the second quarter, compared with 56 in the first three months of the year. The financial crisis in the eurozone has scared most investors away from conducting business in Spain and Italy, according to the London Financial Times.
In the second quarter, the total volume of sales in Spain was € 67 million (US$82.7 million) for offices, shops and industrial properties, down 74% compared to 260 million euros in the first quarter. Spanish property sales are currently smaller than in neighboring Portugal for the first time.
(The euro in the United States is about $1.24.)
Real Capital Analysts says in his report: "Higher risk aversion, notably amongst transnational institutional investors, led to an almost total collapse in Southern EU acquisitions.
According to RCA, some property industries in Italy have made good progress during the recessions, such as the Milan retail space business. "Investor confidence seems to have gone up throughout the industry as concerns have developed about the country's economy and future position in the eurozone" " The study shows. The study.
According to the Financial Times, leading property economists have stated that Spanish and Italian investors have denied their respective immovable markets.
"Since the end of last year, things have deteriorated considerably and prices have fallen substantially," says FT-based European Jones Lang LaSalle CEO Christian Ulbrich.