Want to start a business in New York or Washington, D.C.? Now is the time according to foreign investors, who are leading the way and pouring billions into the commercial market.
Anyone looking to invest in foreclosure properties should look into the commercial real estate industry, which is actually flourishing despite the rocky economy. As the Dow Jones continues its recent roller-coaster ride, investors are snatching up commercial real estate properties left and right - especially in gateway cities.
All eyes are on the development of businesses in New York City and Washington, D.C., which have experienced an increase in commercial real estate investments. Although U.S. consumers have wavering confidence in the nation’s economy, leaving many investors wary of purchasing commercial real estate properties, foreign investors are stepping forward with a plethora of confidence – and the cash to back it up.
Although there are some U.S. commercial real estate investors that are contributing to the stability, the majority of commercial real estate transactions are actually from foreign investors. China, one of the heavy hitters in New York commercial real estate investments, invested over $1 billion in commercial loans in the last year.
But why is China investing? Obviously they have a stake in the United States’ financial security since they are the backers for many U.S. loans. Furthermore, the Chinese government drastically wishes to increase its foreign affairs and opening more businesses in the U.S. is one way the country is seeking to fulfill this mission. Either way, China is definitely expanding onto U.S. soil and is snapping up commercial properties across the country, primarily in New York.
In the end, stabilization is occurring in the commercial real estate market despite the high unemployment rate and lower consumer confidence. Foreign investors are snatching up the inexpensive properties to increase their international presence – and lock in phenomenal profits - with China taking the lead.