Fundamentals more robust than in 2008/09, says Prologis Europe chief

The fundamentals in the real estate industry are significantly more robust now than in 2008/09, according to Philip Dunne, CEO of Prologis Europe. ´There’s a disconnect between the wider macro-economic, financial and fiscal world and what´s happening in our business.’

In 2008/09, there was still ‘a massive overhang’ of capacity, Dunne pointed out in an interview at EXPO REAL. ‘A huge swathe of vacant space has now been absorbed. Unless there’s a major shock, I am optimistic that we will continue to perform well in the current environment. But it will be a long bumpy road to recovery with some good spots and bad on the way.´

Dunne added, however, that uncertainty would most likely continue for the foreseeable future against the background of eurozone woes and ongoing turbulence in capital markets. ´Some investment decisions may be postponed until there is more clarity. But that is really no different to the dynamics we saw 18 months ago.’