London rated top European city for investors


London is again this year the favorite European city among commercial property occupiers and investors, according to the ninth European Regional Economic Growth Index published on Tuesday.

London won because of its strong employment growth in the financial sector, the annual report said, adding that London’s “much maligned infrastructure” is already benefiting from the preparation work for the 2012 Olympics. The comprehensive survey of the European region was conducted by LaSalle Investment Management, a global real estate fund manager, which analyzed the relative sizes, growth levels and business activity of 91 European cities and identified those expected to be in greatest demand among occupiers and investors over the medium term.

London remained on top for two consecutive years. “London in particular has benefited from its levels of growth this year, which have been helped by a lighter touch regulatory regime than elsewhere,” the report said. Three British cities are among those with the most uplifted ranking: Birmingham, ranking 29th, Nottingham-Derby, 30th and Cardiff, 47th. The strong performance of these cities owed to the prosperous UK economy in 2006 and optimistic prospects for 2007 and 2008, characterized by increased employment growth expectations, the report said.

Paris, which ranked second last year and first the year before, has been overtaken by Munich because of forecasts of reduced employment growth.
Munich is benefiting from German’s rapidly developing economy and its position as the country’s most attractive city, the report said.

The report also said European real estate is set to shrug off the worst effects of the credit crisis. However, the report warned that the credit crisis, rising interest rates and diminishing rental yields, may lead banks to become more cautious, putting pressure on highly leveraged investors. (

Zwack Profit Falls 16% Figures

Zwack Profit Falls 16%

EC Advances Infringement Procedure Over Hungary's Sovereignt... EU

EC Advances Infringement Procedure Over Hungary's Sovereignt...

Hell Energy Inaugurates HUF 80 bln Capacity Expansion Manufacturing

Hell Energy Inaugurates HUF 80 bln Capacity Expansion

Puskás Arena to Host 2026 Champions League Final In Budapest

Puskás Arena to Host 2026 Champions League Final


Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.