Inflation

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.

Investors and managers are preparing their private real estate portfolios for the risks – and the opportunities – inherent in a potential shock to AI’s steep growth trajectory.

Generating alpha in today’s market means rolling up your sleeves and focusing on local considerations, says PIMCO Prime Real Estate’s Donato Saponara.

In this episode of The PERE Podcast, the editorial team provide their top takeaways from the global trade show MIPIM. They also reflect on how delegates see the Iran crisis impacting the outlook for real estate capital flows.