Confidence slips but property has the edge: Emerging Trends
This year’s Emerging Trends in Real Estate Europe report, published by ULI Europe and PwC, revealed that business confidence has slipped back to 2011 levels. As ULI Europe CEO Lisette van Doorn explained to Real Asset Media’s Richard Betts, a cyclical downturn coincided with structural changes which have been accelerated by the pandemic.
The projections are not positive, van Doorn said. However, the availability of capital awaiting investment in real estate is propping the market up. Low interest rates are one reason for the availability of capital, but also real estate looks particularly good when compared with other investment classes.
Persistent difficulties in travel are making international deals more difficult – it is hard to carry out due diligence at a distance under the current restrictions – so for the foreseeable future, domestic investors are likely to dominate, van Doorn said.
Click on the video to watch the full interview.