Chinese Could Spend $50 Billion on New York City Real Estate Over Next Several Years

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NEW YORK (TheStreet) — Chinese cash injected into New York City real estate reached record levels in 2014. That could be just the beginning.

“Over the next several years, we’ll see — potentially — over $50 billion injected into the market from China,” said Cushman & Wakefield’s Chairman of New York Investment Sales Bob Knakal, who has engineered some of the splashiest sales of New York properties to Chinese buyers.

The U.S. has long been a popular destination for foreign real estate investors, historically dominated by Russian and Middle Eastern buyers. Last year saw a wave of new buyers from China as Chinese investors gobbled up trophy assets of all sizes — most notably Anbang Insurance’s record-breaking $1.95 billion cash purchase of the Waldorf Astoria.

“Believe it or not, they’ve been testing the market over the past two years,” said founder of luxury New York real estate developer JDS Development Michael Stern, who has worked on some of the biggest high-rises in New York, most notably theWalker Tower and Stella Tower. “They’re very, very measured and calculated, in a good way.”

 

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