by Shane Henson — January 23, 2013—Jones Lang LaSalle, a global financial and professional services firm specializing in real estate, has released preliminary numbers showing that U.S. fiscal cliff tax concerns and pent-up demand lifted fourth quarter (Q4) volumes to end the year 2012 ahead of 2011.
Among the company’s findings and projections:
- The “fiscal cliff” and pent-up demand pushed U.S. volumes 51 percent higher quarter on quarter as vendors fretted over capital gains tax increases and the need to allocate capital, 34 percent up on Q4 2011 and 11 percent higher year on year. Canada and Mexico also had a stronger year in 2012 than in 2011, showing growth is across the Americas.
- Asia-Pacific had a consistent end to the year, but full-year volumes were down slightly in 2012 at $92.5 billion compared to $98 billion in 2011, with slower economic growth in China affecting volumes in the second biggest market.
- Europe beat expectations by matching 2011 in euro terms but eight percent down in U.S. dollar terms, partly due to a weak euro. The United Kingdom remained the most active market in 2012, and there was increased activity in Q4 on the continent with France, Germany and the Nordics seeing stronger ends to the year.
Following this better-than-expected end to 2012, Jones Lang LaSalle says it is estimating full-year 2013 volumes will be between $450 to $500 billion, with performance back-ended following a similar pattern to 2011 and 2012. Momentum will be maintained in the Americas, with Asia Pacific expected to improve and Europe, the Middle East and Africa (EMEA) looking to record a similar performance to 2012, the company predicts.
