For concrete evidence that Chinese buys of U.S. commercial real estate slipped when China’s State Council restricted outbound investments last August, look no further than Chicago. A Cushman & Wakefield report compares Chinese activity here in 2017 to recent years and sees a marked drop-off.
In 2016, for example, Anbang Insurance spent $952 million locally as part of its $6.5-billion acquisition of Strategic Hotels & Resorts. 2017’s only notable transaction was HNA Group’s $335-million acquisition of 181 West Madison.
“Chicago garnered a lot of attention from Chinese investors in the last three years, with heavy hitters such as Anbang, Cindat, HNA and China Life providing an influx of capital,” said Cushman & Wakefield’s Janice Stanton. “As capital controls kicked in, 2017 Chinese investment fell 63% from 2016’s record $1 billion. However, historically it’s the European and Canadian buyers that dominate the Chicago market and should continue to do so.”
Paul Bubny serves as Senior Content Director for Connect Commercial Real Estate, a role to which he brings 13-plus years’ experience covering the commercial real estate industry and 30-plus years in business-to-business journalism. In this capacity, he oversees daily operations while also reporting on both local/regional markets and national trends, covering individual transactions across all property types, as well as delving into broader subject matter. He produces 15-20 daily news stories per day and works with the Connect team and clients to develop longer-form content, ranging from Q&As to thought-leadership pieces.
Prior to joining Connect, Paul was Managing Editor for both Real Estate Forum and GlobeSt.com at American Lawyer Media, where he oversaw operations at both publications while also producing daily news and feature-length articles. His tenure in B2B publishing stretches back into the print era, and he has served as Editor in Chief on four national trade publications.
Since 1999, Paul has volunteered as the newsletter editor of passenger rail advocacy groups (one national, one local).
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