IRVINE, CA—There's no doubt that foreigninvestors continue to be interested in US real estate,both residential and commercial,but what specifically makes them want to buy a particular asset ina particular market? GlobeSt.com spoke exclusively withRobert Stamm, executive managing director ofSavills Studley here, about how foreign investorsevaluate US real estate and what they're seeking to buy now.

GlobeSt.com: What are common acquisition profilesfor active foreign investors seeking real estate opportunities inthe US?

Stamm: Acquisition profiles tend tovary among foreign investors: Canadian investors, which are thelargest foreign investor group in the US, areusually risk averse and typically prefer a 49% JV structure (fortax reasons) in core properties. The Norwegians have been acquiringcore office properties in coastal gateway cities,partnering with well-known domestic institutionalinvestors. German open-ended funds generally seek core investmentopportunities (office, retail andindustrial) in key US gateway cities. Many Chineseinvestors are seeking high-quality, well-located, large-scaledevelopment projects (residential,hotel and mixed-use) and areoften paying higher prices than domestic investors based on acertain degree of intangible value associated with a particularasset—for example, corporate branding potential as a strategicmeans to establish US presence.