Europe

In investing €1.25bn to build new homes, the Dutch pension fund is becoming an outlier in an increasingly development-shy market.

PERE Deals caught up with Chris Papachristophorou shortly after his firm exited a seminal deal executed during the Greek financial crisis.

The data center giant’s $3.25bn debut fund adds to a growing cohort of listed specialists making significant inroads in private real estate capital markets.

The vehicles are the largest in their respective fund series, with US XI also representing the firm’s largest-ever capital haul for a closed-end real estate fund.

Capital raised for North American strategies relative to other regions hit a five-year low last year, with European funds seeing less success reaching their targets.

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.

Inside: Building resilience – how private real estate is mitigating AI bubble risk; Highlights and key takeaways from the PERE Network Asia Summit in Singapore; And much more…

Real estate managers accept that NOI growth is critical to investment performance, and now innovators in the sector are capturing a greater share of the operational upside.

Developing a disciplined ESG approach is emerging as a key competitive advantage in managing properties and unlocking real value.

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.