Japanese Real Investors Coming Back to America
If you're new here, you may want to subscribe to my RSS feed. Thanks for visiting!
I am trying to figure this out. The United States had a roaring real estate market for the past decade and the Japanese investors have stayed on the sidelines. Now that the market is slowing down or as some think facing the bursting of a housing and real estate bubble, the Japanese are looking at coming back into the United States real estate marketplace.
Does this not make any sense to you? Or on a macro level the Japanese do not see trends very well? This will be another thing to watch going into the future.
“They’re raising the money,” said Dan Fasulo, director of Real Capital Analytics, a real estate investment research firm. “There is money that is focused on the U.S. for the first time in years.”
From 1985 through 1993, Japanese investors went on a U.S. real estate buying binge, pouring $77.3 billion into the United States, according to a 1997 Ernst & Young report.
But when the bottom dropped out of the U.S. real estate market in the early 1990s, Japanese investors lost billions. Mitsubishi Estate Co. Ltd. was caught short on a $1.3 billion mortgage for Rockefeller Center. The property was later put into bankruptcy.
With their own economy faltering at the time, many Japanese investors were forced to move their money back home.
This time, Japanese investors aren’t looking to directly own the real estate and hold large mortgages on their companies’ balance sheets, said Mark Grinis, global real estate partner at Ernst & Young. Instead, Japanese investors are putting money in funds that will own the properties.
“It’s not a lot of groups,” Cushman & Wakefield broker Scott Latham said. “It’s very, very few of them. They’re kicking tires.”
Am I the only one that finds it odd that the ONLY place that looks to be seriously warming is ...
It seems there are numbers posted about how much it could cost the US in home sales from people holding ...
The only people holding off will be those that are financially secure and can manage to hold off. How ...
What an awesome way to generate traffic for a story. Were they trying to time that for Sweeps Week? ...
That's awful. I wonder if using that tactic , if a building can be sold or used as collateral. ...
Good point about people possibly holding off now. The 4.5 percent interest rate could be a self-fulfilling prophecy. 
wow this is a wonderful creation...............i would like to be there once even in my life time........... 
Absolutely agree with Jon, excellent site and very imformative. Keep reporting to us please! 
I will say that had I never been to that site and seen Dean's many deals that he documented and ...
Great Real Estate
post ... very interesting. 
