Knight Frank: Chinese Outbound Property Investment Doubled In 2015

Chinese outbound property investment reached nearly $34 billion in 2015, doubling that of 2014, according to a recent report of Knight Frank. Knight Frank is a London-based global real estate consulting company providing global residential and commercial property advisory services.

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Chinese Outbound Property Investment Doubled In 2015.

Driven by the softening of Chinese market conditions (devaluated Chinese currency, turbulent Chinese stock market, and fierce domestic competition), the growth of Chinese overseas property investment is an indicator that Chinese investors are now considering the overseas property market as a relatively safe haven among their alternative investment portfolios.

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Chinese outbound property investment activities in key global cities. (Source: RCA, Knight Frank)

Gateway cities in the developed markets of the US, UK and Australia have been the top destinations for the Chinese outbound property investment in recent years, according to the report. In 2015, Manhattan has become the top investment destination for the Chinese property investors, followed by Sydney and Melbourne, and London.

With the Chinese government policy encouraging firms to expand overseas, the report predicts that the growth of overseas property market will continue to be driven by Chinese institutional investors, banks and developers in 2016.

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