SINGAPORE - High-net-worth-individuals (HNWI) in Singapore have identified London's property market as their investment target despite the Eurozone crisis, a report by property consultancy Cluttons has found.
Singapore's investors cited the quick recovery of residential capital values across prime Central London as the city's key investment appeal.
This sentiment is in line with many global investors surveyed by the consultancy. 57 per cent of total respondents in the worldwide survey identified London real estate as their top target investment class.
While investors from both Middle East cities and Kuala Lumpur identified London as their top target, those in Bangkok ranked London second to Yangon. Jarkata investors ranked the city behind Singapore and Australia.
Tokyo's respondents were the only ones who did not include London in their target list for investments.
Foreign investment has dominated London's commercial market in recent months, with overseas investors contributing close to 90 per cent in London's commercial asset transactions, the report stated.
However, Cluttons warns that the idea of London as a safe haven should not be overplayed
It also adds that while the Eurozone crisis has had little impact on the investment appeal of London, investors in the East may look to invest in their home markets as economic activity recovers over the coming years.
Nevertheless, London has always been a top choice of investment for HNWIs, particularly due to investors having strong ties to the United Kingdom.
According to Cluttons, 86 per cent of HNWIs who target London for investment have pre-existing ties to the UK through home ownership, children's education or expansion of investment portfolio.
James Wong, Managing Director, VPC Asia Pacific in association with Cluttons, said: "Quite remarkably, 43 per cent of these highly mobile investors state that the global financial crisis has had no impact on their view of London as a top investment target location.
"In fact, almost a third (29 per cent) goes on to claim that London is better-placed because of the Eurozone difficulties", he added.
71 per cent of the investors surveyed told Cluttons that they were planning to invest in London in the next three to six months as their first choice target city.