*The US leasing market is noticeably stronger than other regions as rent growth has remained positive while other regions have flattened. As a result, the Americas region recorded both the strongest quarter-over-quarter and year-over-year growth rates—1% and 3%, respectively, the report says. *Asia Pacific rents were essentially flat during the quarter, and significantly short of the 13.4% annual increase witnessed in Q2 2011. *Regional performance varied widely. For example, Hong Kong quickly rebounded after the recession and reached its pre-recession rental peak in 2011. However, since then, Hong Kong rents have softened as occupiers seek to contain costs. Meanwhile, Bangkok rents continue to move higher propelled by continued strong demand and limited future supply of Grade A stock in the best locations. *Amidst weak occupier sentiments in EMEA, the EMEA Rent Index was slightly negative once again this quarter, reflecting the uncertainty surrounding the European Sovereign Debt Crisis. Regional differences exist in EMEA as markets in more stable economies such as the Nordics and Germany have performed better, and some markets—such as Dusseldorf and Munich—are expected to see continued upward movement in rents in the near term.

*With the exception of the Americas, the Global and Regional Capital Value Indices have seen little or no improvement since Q3 2011. *The relative strength of the Americas (posting a 1.5% quarterly growth) has driven the Global Capital Value index upward at a modest rate. However, the global growth rate has been weakened by the EMEA Capital Value Index, which fell 1% this quarter (its third consecutive quarterly setback). Meanwhile, the Asia Pacific Index level has held steady for the past several quarters. *Risk-averse sentiment continues drive property investors toward the highly liquid, gateway markets. As such, asset values have strengthened most in the U.S. gateway markets—including New York, Chicago, San Francisco and Boston—due in part to these markets’ supply of trophy assets and their perceived liquidity. *Asia Pacific has not seen much change in the first half of 2012, but notably, it is the only index where property values returned in 2011 to its pre-recession peak back.