GlobeSt.com: How long have China and Mexico been listed as the hotspots?

Tate: For a couple of years now. Both appear to hold a good deal of interest for real estate professionals and investment in those locales is here to stay.

GlobeSt.com: Why not Europe?

Tate: I don't think it's a question of why not Europe, because it was listed as one of the areas where investment will take place, just not to the degree of China or Mexico. In part, Europe is a mature country with a mature economy, so the opportunity for a return on investment is just greater in Mexico and China, and that seems to be where the investment is going.

GlobeSt.com: The risks certainly are greater, though, at least in China.

Tate: The risks are greater, and the rewards are probably perceived as greater too. But one of the things that's going on in China is that the government is becoming more business friendly, and gradually--and it is gradual--their laws are going to be increasingly transparent. US law firms have been trying to get a foothold into China to help clients with this sort of investment. People actually see China as a reasonable place to do business.

GlobeSt.com: What about Mexico? Why do you figure that's becoming more prominent?

Tate: Well, we do a tremendous amount of trade with Mexico, and it's a natural neighbor.

GlobeSt.com: But all of that has been true for along time.

Tate: It has been true for a long time, but with the globalization of economies, Mexico has become not only a much more attractive trading partner, but also a much more attractive target for real estate investment.

GlobeSt.com: Did any surprises come from the survey?

Tate: I'm still surprised at the level of interest in investment abroad. Real estate has always been a local industry while globalization and the interconnectivity of markets have allowed other industries to go abroad with a lot more ease than real estate. It seems that real estate's catching up. I find the rapidity of that development remarkable.

GlobeSt.com: And it should increase as more countries develop REITs, no?

Tate: That's certainly possible. A significant factor in that is making the laws associated with ownership and the transactions associated with the business more transparent, because that reduces risk. When you reduce risk, investment follows.

GlobeSt.com: But transparency varies from country to country, even in Europe, and never mind China. Doesn't that present hurdles to the globalization of the market?

Tate: : Yes, it does. Consequently, investment risk varies in many of these countries, whether it's in real estate or otherwise, and people will make decisions based on that. But it's always going to be a reward-risk calculation. When you look at a country like China and look at its wealth of resources, it's a good place to do business, and people are betting that transparency will increase in countries like China. More governments are seeing that their markets are going to be interconnected one way or the other, and they can help or hinder that process. Those that help see a direct benefit for their people.