60 Second Property Digest – private investors key as lending landscape evolves
Victoria Ormond, head of Capital Markets research, highlights the key talking points from the 2023 Active Capital report.
1 minute to read
Active capital, our flagship capital markets research programme, provides intelligence on key drivers and themes of commercial real estate investment over the coming year.
A significant driver is the macro landscape. This is seeing shoots of positivity following the IMF’s announcement at Davos of improvements in their economic outlook as well as recent inflation results surprising to the downside.
Real estate is to see increased polarisation of performance however, the year ahead is going to be more about private investors, local activity and smaller lot sizes, as well as counter cyclical sectors and lower beta locations.
The living sectors to data centres and beyond are driven by through cycle, demographic and innovation-led structural change, attracting investment. There is also the case for established, more traditional sectors with the right attributes and in the right locations.
Financing is becoming more complex, with increasing swap rates, but also a more diverse range of lenders and variation in lending strategy. ESG will also continue to be key in managing risk and liquidity.
You can find our very latest insights on the Active Capital website.