Real Estate site Lamudi has unveiled its inaugural list of the most coveted cities for investors in emerging markets with cities in Asia leading the pack.
According to the site, Jakarta tops of the list as the most sought-after city for emerging market investors, on the back of the country’s strong economic performance and a booming luxury real estate sector. Manila, Mexico City, Marrakech and Dhaka round out the top five list.
In a statement, Aneesa Arshad, MD of Lamudi East Africa commented: “Investors searching for new opportunities in emerging markets should look to these cities as well as the many rapidly developing cities across Africa. Countries across Africa are experiencing a boom in real estate, fuelled by a growing middle class and strong economic performance. Lamudi is working at the forefront of e- and m-commerce development for the real estate market, and we are confident that African cities will continue to become more and more attractive to investors from around the world.”
Lamudi’s top five most-coveted cities for property investors are:
1. Jakarta, Indonesia:
Jakarta’s property market has emerged as one of the strongest in the world. Prices continue to rise, with values jumping by 30 to 40 per cent annually over the last three years. The city has become a magnet forluxury property investors as prices climb in its high-end residential sector. It remains to be seen if this year’s election will impact the investment environment.
2. Manila, Philippines:
As the country’s economy gains speed, more investors have turned their attention to the Philippines’ capital. Issues of governance and transparency have improved, while the city is increasingly attracting multinational companies for outsourced services, according to onerecent report. Manila is considered favourable to investors because it has a young demographic, as well as a similar workforce culture to the west. Its residential, retail and office sectors all present strong investment prospects.
3. Mexico City, Mexico:
Investors see signs of change in Mexico, with drug-related violence and crime on the decline and businesses benefiting from reforms enacted since 2012. Foreign property investors are attracted to Mexico City because they can get better value for money than in developing markets, while remaining in close proximity to the United States.
4. Marrakech, Morocco:
With strong growth prospects, relative political stability and a favourable environment for foreigners, Marrakech was recently named byFinancial Times property experts as a top investment pick for 2014. Tourism to the country is increasing and transaction costs for those buying or selling a property remain low, adding to positive investment sentiment.
5. Dhaka, Bangladesh:
Ten years ago, Bangladesh’s capital would not have got a look in among investors. But things are changing: even global investment banking firmGoldman Sachs once listed Bangladesh as one of its “next 11” emerging markets to watch. These days the country’s property market is on an upward swing, with prices soaring and an increasing number of high-end apartment blocks being built throughout the city.
