The material on this site is for financial institutions, professional investors and their professional advisers. It is for information only. Please read our Terms & Conditions, Privacy Policy and Cookies before using this site.

All material subject to strictly enforced copyright laws. © 2020 Euromoney, a part of the Euromoney Institutional Investor PLC.
Capital Markets

Real estate: The art of micro management

Despite attractive yields and improved turnover in a few prime markets, the European commercial real estate recovery remains tentative as supply and finance constraints continue to restrict activity. However, bright spots are emerging for funds that have been able to put the worst of the debt crisis behind them. Joti Mangat reports.

INSTITUTIONAL AND RETAIL money continued to flow into unlisted real estate funds in the third quarter, albeit more slowly than in previous quarters this year, according to the data compiled by the Investment Property Databank (IPD). More than £750 million ($1.17 billion) of new money flowed into the 68 unlisted real estate funds in the UK in the third quarter, some £600 million less than in the previous quarter, bringing the net asset value of the investor base in the UK to £31.5 billion for the same period.

It is no great surprise that the funds that have performed relatively well through the past two years of crises are those that went into the downturn with low levels of leverage and an active approach to debt management.

Take out a complimentary trial

Take out a 7 day trial to gain unlimited access to Euromoney.com and Asiamoney.com analysis and receive expertly-curated updates direct to your inbox.

 

Already a user?

Login now

 

We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
I agree