Returns for multi-country real estate funds moved back into positive territory during the first quarter of 2013, according to data from Inrev.
Returns for multi-country real estate funds moved back into positive territory during the first quarter of 2013, according to data from Inrev.
Inrev's latest quarterly index recorded returns for multi-country funds of 1.59% compared to -2.91% in the last quarter of 2012.
For the first time since Q2 2011, non-listed real estate funds delivered positive capital growth at 0.32%
For single-country funds, France (1.69%), Germany (0.81%), Finland (2.57%) and the UK (0.54%) showed a positive performance in Q1 2013, while the Netherlands recorded negative returns of -0.2%
Returns for continental Europe improved from -1.48% in Q4 2012 to 1.13%. Core funds hit 1.16% compared to -0.01% for value-added funds.
Casper Hesp, director of research and market information at Inrev, said: 'It is very encouraging to see non-listed real estate funds moving back into positive territory. The results are probably a reflection of the broadly more upbeat economic environment. They will no doubt be welcomed by investors who have recently increased their allocations to real estate as part of a balanced portfolio.
'While the upward shift in capital growth is noteworthy - particularly after such a protracted period of poor performance - the dominance of core funds remains the obvious story.'