North American investors surge into London office market

NORTH American investors now account for a quarter of all cross-border purchases in the central London office market, according to figures from CBRE, the world’s largest commercial property business.

The influx of buyers from the US and Canada has seen their share of central London office transactions conducted by foreign investors jump from 10 per cent in 2008 to 24 per cent last year.

In total North American firms are responsible for a tenth of London office purchases.

London has become increasingly reliant on foreign investment in office space with £4.5bn coming from overseas investors during 2011, representing more than half of the total market.

The Canadian investment is largely driven by its cash-rich pension funds.