The huge weight of domestic and inter-regional capital aimed at European real estate led to several top investment managers doubling their trading volumes in the market during 2015 compared to the year before.
The huge weight of domestic and inter-regional capital aimed at European real estate led to several top investment managers doubling their trading volumes in the market during 2015 compared to the year before.
A preliminary scan of data being compiled for PropertyEU's Top Investors ranking based on transaction volumes, shows well over 50 entrants – a combination of ‘domestic’ European firms and North American private equity heavyweights – transacted more than €1 bn each in real estate deals across Europe in 2015. This group alone chalked up a combined volume of around €164 bn. While the number of €1 bn-plus dealmakers is roughly in line with our Top Dealmaker ranking for 2014, the signs are that the big players are getting bigger.
For instance, our data indicates Blackstone carried out €11.6 bn of direct property transactions in Europe during 2015; up 50% on the €7.7 bn direct real estate volume the year before. Its largest deals were the €2.4 bn purchase of commercial and residential real estate from Norwegian fund manager Obligo, and the acquisition of office, retail and logistics assets from GE Capital for €1.9 bn.
The larger German investors also ramped up their trading activities. Patrizia Immobilien turned in one of the strongest increases when it bettered its €4.1 bn total in 2014 by more than 100% to €8.7 bn last year. Union Investment Real Estate recorded a 40% increase to €5 bn for 2015.
The full Top Investors ranking by transaction volume is published at MIPIM in March. As well as the main transaction volume ranking, Top Investors will also identify the top buyers and vendors, their various investment strategies and the key markets and segments being targeted.
