Private equity players gain ground as retail investors

Private equity players have moved up the ranking of top retail investors in 2010 compiled by PropertyEU. While listed real estate companies and institutional investors have dominated the top retail deals in Europe since the outbreak of the financial crisis, this year investors representing wealthy families such as the Olayan Group and players at the value-added end of the spectrum like MGPA, Perella Weinberg and Resolution Property have made their debut in the top 15.

This year Amsterdam-listed Corio topped the ranking, following the acquisition of the Multi portfolio in Germany and Spain and deals in Italy and Turkey. Unibail-Rodamco, Europe’s largest listed company by market capitalisation, also made it into the top three following its purchase of the Simon Ivanhoe portfolio in France and Poland.

During the boom years in 2006 and 2007, highly leveraged players dominated the headlines, edging out their listed peers and institutional investors like insurers and pension funds. But the traditional equity players returned to the scene with a vengeance in 2008 and have continued to dominate deals since then. Listed French retail specialist Klépierre grabbed the top spot in 2008, followed a year later by its UK peer Hammerson.

Germany and France have accounted for the bulk of the retail deals so far this year, followed by the UK and Poland. Peter Todd, director at Resolution Property, expects to seal more transactions in these countries with more value-added opportunities set to hit the market in 2011.

The full story is published in the November issue of PropertyEU. Click on the link below to subscribe: