DB Real Estate has presented two current research reports: the Ã¢â¬ÅEuropean Real Estate 2003/1Ã¢â¬Â study reports on the first six months of 2003 and presents a forecast on the development of office, retail, industrial and residential property markets for 17 important European cities. The Ã¢â¬ÅProperty in EU Accession CountriesÃ¢â¬Â report examines the commercial real estate markets of EU accession candidates and analyzes the most important markets (Prague, Warsaw, Budapest, Bucharest, Bratislava, Vilnius, Riga and Tallinn).
The international DB Real Estate research team evaluates the economic stagnation and the resulting consequences for the EU real estate markets as less serious than in the 1980s and 1990s, but longer-lasting. First signs of recovery are possible in Paris, Lisbon and Barcelona by the end of 2004.
Ã¢â¬ÅDue to a lack of positive economic signals, we have significantly corrected our forecasts regarding rents downwards, in comparison to the report six months agoÃ¢â¬Â, explained Nick Tyrrell, head of European research of the DB Real Estate. Germany is especially affected; Ã¢â¬Åthis is where we least expect a fast reversal of the trend Ã¢â¬" the rents in Frankfurt and Munich will not begin to increase again before 2006Ã¢â¬Â, according to Tyrrell.
The DB Real Estate research experts expect that the investor interest in secured capital investments in real estate as well as the investor interest in European properties will remain strong despite these developments.
In the Ã¢â¬ÅProperty in EU Accession CountriesÃ¢â¬Â report, the forecasts for the EU accession candidates are positive, since the overall economic and political conditions in the convergence countries have improved and stabilized. Considerable two-digit returns, even under conservative assessments, for real estate investments are possible in these countries, with manageable risks.
Source: DB Real Estate