Guest Writer
As capital flows into niche real estate, the yield premium that once compensated for asymmetric information and limited transaction history continues to narrow, according to Omar Eltorai, senior director of research, and Alexander Jaffe, regional lead of valuation advisory, at Altus Group.
With transactions subdued and development limited, the industry is turning to conversions, retrofits and repositioning strategies to drive income and unlock value, reports Giovanni Legorano.
Deals have stalled in both number and volume, but an increase in large trades and record data center deployment are driving up momentum, according to Tom Leahy, head of EMEA real assets research at MSCI.
Jeff Giller, partner and head of StepStone Real Estate, explains how liquidity constraints and fundraising headwinds are accelerating growth of its real estate investment management business.
Fred Schmidt, managing partner and Asia chairman, and Julie Wong, managing partner and head of global capital raising at BGO, say a wave of non-core assets is creating a deep opportunity set for investors.
Marc Zahr, co-president of Blue Owl Capital and global head of real assets, sees investors gravitating towards scale, downside protection and long-term leases amid data center volatility and market uncertainty.
Hospitality market volatility is creating opportunity as the global recovery remains uneven, say Ascendant Capital Partners’ founder and chief executive Russell Gimelstob and co-founder and chief investment officer Alex Halpern.
Power, scale and capital are reshaping investment decisions, say Devin Chen, head of private equity portfolio management, and Casey Miller and Ian Curry of Principal Asset Management.
Stephen Gaitanos, founder and joint CEO of The Living Company, says despite market volatility, investors are prioritizing integrated platforms that combine capital, operations and branding.
Sachin Doshi, founder, chairman and CEO of Weave Living, says investors are backing vertically integrated rental housing platforms across the region as the sector absorbs larger pools of capital and investors seek scalable, specialist capabilities.