Transaction speeds – The Property Chronicle
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Transaction speeds The market players are different and the transactions are significantly more complex than 30 years ago

Investor's Notebook

Perhaps the long hot summer in continental Europe is not the most prudent time to review how fast transactions take to conclude. However, with the benefit of over 30 years of experience in Europe I am convinced the average time from the start of marketing to closing has grown significantly. This conclusion seems to be counter-intuitive given advances in business technology such as e-mails, internet-based mapping, electronic registered titles to name but a few.

I have concluded that transactions are taking longer because the market players are different and the transactions are significantly more complex than 30 years ago.

My recollections of the late 80’s and early 90’s were that many transactions were completed between well-known institutional investors who predominantly operated in their indigenous markets. The consequences of this institutional investor dominance was that funding of transactions was often ”all equity” and deals were between parties who often knew each other. Therefore, concluding documents quickly and efficiently was conducted against a backdrop of trust formed from prior business experience and a desire to maintain a market reputation for future business. In short, the chances of concluding repeat business was high as markets had fewer participants and the majority of deals were between local/national players. 






Investor's Notebook

About Michael Walton

Michael Walton

Michael Walton founded Rynda Property Investors LLP - an independent FCA regulated real estate investment house - in September 2005. Michael is a Chartered Surveyor with over 30 years’ industry experience. His skill-sets include structuring real estate joint ventures and funds in Europe for institutional, shari’ah and high net worth investors and the subsequent deployment of capital. Rynda establishes investment products across the risk spectrum and via local teams proactively manages the assets acquired to maximise net operating incomes and investment performance. Rynda always seeks to back its judgement by co-investing with its clients. Though focusing primarily on Western Europe, Michael is also familiar with both Scandinavian and Middle Eastern markets. Prior to setting up Rynda, he was a Managing Director at Citigroup Property Investors (1998-2005) where he was responsible for all investment strategies throughout Europe. Michael has previously worked at Lazard Brothers & Co. Ltd (1994-1998) and Touche Ross (1992-1994) and holds an MBA from Cass Business School and an MA from the University of Cambridge.

Articles by Michael Walton

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