IPE Real Assets’ columnists and guest writers provide thoughtful commentary and reaction to the hot topics for the industry
Infrastructure investors should be keeping a close on the UK with newer, more diverse opportunities likely to emerge, writes Leigh Hazelton
The sector’s investor participation was historically limited by a scarcity of suitable institutional-grade assets
DC pension money has provided a boost to UK real estate
Infrastructure investors should be keeping a close on the UK with newer, more diverse opportunities likely to emerge, writes Leigh Hazelton
Global real estate fundraising fell off a cliff in 2023, a year characterised by major hikes in global interest rates as central banks sought to wrestle inflation under control. Last year the Federal Reserve and European Central Bank began to bring rates back down, but this was not enough to revive capital raising.
An estimated 2-5% uplift to IRR is being underwritten due to potential platform value
As traditional lending scales back, private credit is stepping in to fill the gap
Firms will save €6.3bn annually, plus one-off reporting costs, due to the omnibus, according to EC
Long-term impact of the package on interest rates and financing costs is yet to be determined
Research suggests that flooding can reduce the value of a property by 30% in severe cases
Despite its rapid expansion, private real estate financing in Europe still holds enormous growth potential