Middle Eastern investors leave U.S. market

Two years after buying almost $6 billion in U.S. commercial real estate — more than Europe, Asia and the Americas combined — Middle Eastern investors have almost disappeared from the American market, the International Property Journal reported.
In 2009, Middle Eastern buyers accounted for only $100 million in deals, but so far in 2010, the Middle East isn’t even on the top 10 list of foreign investors, according to data from Real Capital Analytics. The drop-off is in sharp contrast to interest from other investors around the globe, who are buying U.S. commercial property with renewed vigor, RCA said. After investing $1.5 billion in the first quarter, foreign interests bought up $2.5 billion in commercial property in the second quarter, accounting for about 10 percent of deals. The number was closer to 20 percent in core markets like Manhattan, Los Angeles, Boston and San Francisco. [International Property Journal]