Hong Kong buyers are now the biggest spenders in London's property market

Real estate investment grows to US$3.1b in Q3.

Investment in Hong Kong real estate grew 27% YoY to $24.19b (US$3.1b), thanks to a boost by activity from offshore capital, JLL revealed.

According to its Global Capital Flows report, the sale of a Central London office tower, Walkie Talkie, to a Hong Kong based buyer is the biggest cross-border transaction of the quarter.

The tower "is known due to its unique design, was purchased by an arm of LKK Group in what was the UK’s biggest single-asset transaction ever," JLL said.

The purchase continues the proliferation of Asian capital, particularly from Hong Kong, into London.

"Given the rising prices and stiff competition from mainland firms at home, Hong Kong investors have increasingly looked abroad to invest in real estate," JLL said.

With $53.85m (US$6.9b) in acquisitions in London so far this year, buyers from Hong Kong are now the biggest spenders in the London property market.