Qatar has emerged as a new global powerhouse and is expected to be the largest source of cross-border real estate capital during 2010, according to new research from Jones Lang LaSalle (JLL).

Recent investments (such as that of Harrods Department store in London for around £1.5bn) are likely to be followed by further investments as cash rich entities continue to show an appetite for high profile opportunities on the global real estate stage.

The present focus on London is likely to broaden to an interest in deals in other markets across Latin America, Eastern Europe and Asia. Qatari investors continue to show an appetite for both direct real estate investments and also investment in real estate companies.

Qatar is the epitome of energy rich GCC nations, with a large appetite for real estate investment, fuelled by the rapid growth in oil and gas revenues over recent years. With a relatively small domestic real estate market, much of this interest is being directed towards real estate markets overseas, making Qatar an increasingly important player in terms of global real estate capital flows.

After an adjustment period in 2009, JLL report that Qatar-based institutions are back in the spotlight and the nation is projected to rank as the number one global overseas real estate investor in 2010. The return of the Qataris on the global real estate scene has been marked by an aggressive and bold investment strategy. As relatively young entities, Qatar- based institutions have shown a hunger for high-profile acquisitions and an eagerness to leave their footprint on the global map.

According to JLL, Qatar’s wealth (it was one of the fastest growing economies worldwide in 2009 and has the world’s second highest GDP per capita at USD 121,400) is based on the rapid expansion of its gas industry over the past 10 years. Qatar started to invest heavily in its gas infrastructure in the early 1990s, which has resulted in a massive increase in government revenue over the past 10 years.