Friday Letter

Climate risk ushers in a new science for real estate investing

As more managers integrate transition and physical risk into their market analysis, the implications for capital flows should be substantial.

Four key takeaways from PERE Network Seoul Forum 2023

Changes in investor appetite, tightening budgets and optimizing efficiency were among the big themes discussed at the conference in Seoul this week.

GPIF’s LinkedIn message is difficult to ignore

Resorting to social media demonstrates the world’s largest pension fund’s struggles to find someone to meet its real estate aspirations.

Headlines do not tell the entire story

Commercial real estate has attracted a lot of bad news in recent months, but it is up to industry leaders to take control of the message.

AEW’s revised European debt forecast indicates lenders are hopeful

The Boston-headquartered firm’s adjustment to its estimated shortfall in refinancing needs in the region points to lenders being willing to ride out the storm.

Investors are boosting their real estate allocations – as they should

PERE’s latest investor report prompts the notion that more investors should be dialing up their exposure to the asset class while the market resets.

Don’t paint all offices with WeWork’s brush

WeWork’s potential demise is a thorn in the side for a sector grappling with an image problem, but the reality is less concerning.

M&A activity is not materializing as predicted

Capital markets instability has prevented a return to normal levels of M&A in private real estate, and fundraising dynamics have played a part.

Senior exits call Goldman’s real estate ambitions into question

Following a new round of leadership changes, the bank’s plans to recapture its former glory in the asset class are back in the spotlight.

Three ways fundraising looks different without BREP X

The record-breaking fund had such an outsized impact on H1 capital raising, PERE examined what the numbers looked like without it.