Chinese insurers are picking up and looking to purchase prime office buildings in Europe and also aggressively in Manhattan. With bond yields so low, Chinese insurers who are flush with cash are moving their funds into prime Manhattan properties.
Anbang Insurance closed the deal for New York’s Waldorf Astoria Hotel for $1.95 billion in October, a value of $1.38 million per room. They were able to move quickly after only a month of talks. As a result of this demand and swift action, values are on the rise.