Middle East

The venture is backed by two sovereign wealth funds and follows a 2021 industrial partnership with the same investors.

While the largest diversified funds still rule the pack, capital is increasingly flowing to vehicles with a singular investment focus.

At the PERE Network Asia Summit, the sovereign fund’s global head of real estate said elevated rates had made the sector less competitive.

Although 38% of investors were overallocated to the asset class in 2023, only 27% plan to invest less capital this year.

Those who believe conflicts elsewhere in the globe do not have an impact on their investments should think again.

The total of $138.93bn raised in 2023 represented a 41% drop from the $236.04bn raised in the 2021 fundraising peak.

In this podcast, Abby Rosenbaum of Oxford Economics discusses how two key global conflicts will be a drag on performance in differing ways.

The demand for warehouse space globally will be higher over the next few quarters due to ‘escalating issues’ in the Suez and Panama canals.

Following a trip to the Middle East, Berkadia’s Noam Franklin expects investors in the region to be interested but highly selective on US real estate opportunities this year.

The sovereign wealth investor has joined forces with Aldar Properties and Ares Management for a $1bn investment drive.