Inflation

Investors are being forced to reconsider how returns are generated in a market long defined by stability, as the country's real estate sector undergoes one of its most significant transitions in decades.

Investors are increasingly turning to stability in US multifamily markets, say American Landmark Apartments’ Andrew Yam and Tom Lubeck.

Real estate investors are pivoting to specialist residential sectors as supply, demographics and rates reshape risk-return dynamics across markets, say Macquarie Asset Management’s Erin Ledger-Beaupre, Brendan Jones and Justin Ayre.

After a period of repricing, residential real estate is reasserting itself globally as a key pillar of diversified investment portfolios, says UBS’s Fergus Hicks.

Participants in PERE’s roundtable say a combination of public investment and regulatory reform could help to revive Germany’s stalled economy and real estate market. But they also fear a fragile recovery could be derailed by global events.

The AI boom will impact real estate markets, creating both opportunities and challenges for net lease investors, says Blue Owl’s Karim Hassouna.

Investors in the strategy are digging deeper into tenant health checks and real estate quality amid rising costs and market uncertainty.

Investors in the strategy are leaning more heavily on corporate financials and real estate performance indicators as the global equity market pivots back toward income resilience.

While credit spreads have widened modestly, real estate managers are facing the potential for elevated debt costs as base rate projections change.

As liquidity tightens and pockets of distress emerge, managers are turning to sharper underwriting, disciplined capex and tighter operational control to drive returns, says Arrow Global’s Jay Patel.