Cities resilient but look out for premature obsolescence

The current health crisis means that some real estate markets are suffering, notably retail, and more people are working from home than usual. However, Marnix Galle, executive chairman of listed Belgian property developer Immobel and chair of ULI Europe, believes in the ultimate strength of cities.

“I do think that cities will remain the vibrant centres that they have been for the last 5,000 years, you’re not going to turn that around,” he told Real Asset Media’s Richard Betts.

One outcome of the last year is that occupiers are downsizing, but are also upgrading space. While this is providing opportunities for developers, owners of space that is only as old as seven years should watch out because it is in danger of becoming obsolete.

Click on the video to watch the full interview or listen via the podcast below.