Foreign Investment at Highest Rate in About a Decade

Miami Tower

MIAMI—Cross-border capital flows into the US have risen dramatically over the past two years—and foreign investment in South Florida commercial real estate hit its highest rate in at least nine years, according to a new report by CBRE Group. Florida ranked fourth in the nation in terms of cross-border investment volume in 2015 and the state improved to rank third in the first quarter of 2016. Foreign buying is projected to cool slightly in 2016 relative to 2015, but remains elevated relative to historical rates.

Titled, “Florida: A Destination for Global Capital,” the report outlines the factors attracting foreign investors to Florida. The state’s rapidly growing population and economy, the global brand of its major cities, and strong cultural and economic ties to Latin America and beyond are among the key factors. In 2015, cross-border capital flows into Florida reached $4.3 billion, a high-point for the cycle thus far and up 85% over 2014. In South Florida, foreign capital surged in 2015 with nearly $2.6 billion in sales volume. The 2015 total represents a 65% increase over the previous year.