Seattle’s growth has attracted global attention, pushing foreign investment to new heights
Seattle’s significant economic growth this cycle has not gone unnoticed by foreign investors.
December 04, 2018
- Seattle’s significant economic growth this cycle has not gone unnoticed by foreign investors. Looking to gain exposure to a high-growth market, global capital has poured into Seattle commercial real estate pushing foreign investment to record levels. Cross-border investment (including office, industrial, retail and multifamily) has seen a five-fold increase cycle-over-cycle.
- The majority of this investment has targeted the office sector, with 52.8 percent of foreign dollars spent on office product. A number of cross-border investors have been particularly eager to buy office product leased by large technology tenants. Since 2015, offshore investors have spent roughly $1.2 billion on office buildings leased solely to major technology users.
- While cross-border capital has come from across the globe this cycle, more than half of foreign volumes can be attributed to Asia-based firms. Gaw Capital of Hong Kong, Mirae Asset of South Korea and Takenaka Corp of Japan have all made major acquisitions in Seattle in recent years.
Source: JLL Research, Real Capital Analytics (transactions larger than $5.0 million); 2018 data is YTD