GCC investors to spend 20 bln USD on global real estate in 2007

Investors of the Gulf Cooperation Council (GCC) countries may spend 20 billion U.S. dollars on global real estate in 2007, local newspaper Gulf News reported on Sunday.

According to the report, a total of 13 billion dollars was invested in global commercial property transactions in 2006 by investors of the six GCC countries -- Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the United Arab Emirates (UAE).

"That number could go up to 20 billion dollars by the end of this year," Tony Horrell, a senior official with the U.S.-based property services company Jones Lang LaSalle, was quoted as saying.

The property market expert expects more GCC funds to flow into Asian economic hotspots as GCC investors are looking to diversify their asset base, the report said.

"We will see more activity and more interest in the emerging markets of Asia," he added.

According to Jones Lang LaSalle, the GCC, which accounts for 25 percent of the world's real estate development, is the largest provider of capital in the global proper market on a per capital basis.

Source: Xinhua