One of the world’s leading estate agencies, the Engel & Völkers Group commission revenues exceeded 200 million Euros for the first time.
Both institutional and private investors are also placing their funds in first-class properties in second home markets, taking advantage of price depreciations in many cases, he says.
The group attributes this achievement to high level demand for premium property around the world.
“High-end property in particular is becoming a preferred financial investment as a direct consequence of the uncertain financial climate and currency crisis in Europe,” commented Christian Völkers, CEO of Engel & Völkers AG.
In Germany, the Engel & Völkers network which now comprises 200 residential property shops, managed to build on its already high group commission revenue results of the previous year, generating a further 17.7 percent to 92.9 million Euros.
The Group’s international licence partners increased their overall commission turnover by 15.3 percent to 64.4 million Euros.
Both institutional and private investors are also placing their funds in first-class properties in second home markets, taking advantage of price depreciations in many cases, he says.
“In the holiday regions such as Florida, the Balearics, Italy or on the Côte d’Azur, we are registering a rise in prices once again, with absolute top prices being witnessed at prime locations.”
The Engel & Völkers Commercial business division also achieved a strong percentage growth.
Group commission revenues rose in the 2011 financial year by 31.3 percent to 49.1 million Euros.
The brokerage of multi-purpose apartment and office buildings as a capital investment constitutes a major contributing factor in this considerable increase.
“Private and institutional investors are increasingly turning to well-leased apartment blocks but the supply is not large enough to meet the enormous demand,” says Völkers.
He adds that there are opportunities for growth, particularly in Germany, Switzerland, Austria, the Mediterranean and North America.
Demand for real estate will be sustained as overriding market trends remain unchanged.