The data shows the value of commercial property investment in selected European countries, in 2016 and 2017. Investment companies usually decide to specialize in one of the markets: residential or commercial property. Residential real estate investments can be seen as less risky, but the commercial investments can also be understood as safer, due to higher cash flow potential, offering better returns on investment. Among potential risks when investing in commercial properties the following are listed: higher sensitivity to economic conditions, influencing businesses, vulnerability to changes in supply and changes in local infrastructure as well as the longer time it takes to find a tenant once the property becomes vacant.
