RETAIL INVESTMENTS GET OFF TO THE BEST START IN AN ASSET CLASS COMPARISON
-
Confidence in the improving market conditions, particularly with regard to the now well-advanced pricing processes, have ensured a comparatively good start to the year on the retail investment market.
-
As a result, retail investments almost reached the €2 billion mark in the first three months of the current year with a total volume of a good €1.97 billion, which has only been clearly surpassed once in the last five years (Q1 2020: around €4.9 billion). Since the acquisitions of Real and TLG decisively boosted the results from the first quarter of 2020, the current result appears significantly stronger.
-
Another positive factor is the current positioning of the retail investment market compared to other asset classes, with the retail segment clearly ahead of the other two top property types of logistics (25%) and office investments (16%) achieving almost 36% in the interim balance sheet.
-
Commercial properties stand out in terms of the distribution of turnover across property types (64%). Deals such as Fünf Höfe and Maximilianstrasse 12-14 in Munich show that large-scale transactions are once again possible in isolated cases. The second key driver was once again numerous food investments and portfolios (27%).
-
Despite the general upward trend, however, it should be noted that the long-term average was missed by 20%. This is an indication that the investment market is still in a difficult market phase.