German real estate funds targeting institutional investors have boosted their investments in alternative asset classes over the past five years at the expense of offices, according to research from industry body BVI.

German real estate funds targeting institutional investors have boosted their investments in alternative asset classes over the past five years at the expense of offices, according to research from industry body BVI.

The share of investments in alternative assets like care homes and hospitals has increased to 16% of the total from 5% in 2010, while investment in offices has declined to 41% from 58%.

Other sectors which recorded growth were retail and cafés/restaurants (from 21% to 24%) and residential (from 4% to 7%), BVI said. The share taken by logistics and hotels remained roughly unchanged at 6% and 3% respectively.

German open-ended funds had €82.7 bn in assets under management at end-August, compared with €80.3 bn a year ago and €82.9 bn at end-August 2012.