BNP Paribas Real Estate’s Post

Our latest Market Perspectives webinar is available on-demand. https://macq.co/6049kJDaN With interest rates falling and global growth stabilising, opportunities are emerging in global real estate. Hear from our panel of experts as they discuss the outlook and how investors could position their portfolios to take advantage of current market pricing. #ShareMAM

Our Future Living 3 report captures global investors’ confidence in the UK Real Estate market. Download the report to find out which sectors investors think are poised for growth over the next five years, and which sectors may be losing ground: https://lnkd.in/eV_nxEiQ #ukrealestate #futurelivingreport

Over the past five to seven years, sector selection has been key to achieving higher returns in commercial real estate (CRE) investment, overshadowing geographic considerations. While sector selection will remain important, we think the thematic drivers that are likely to support outperformance over the next decade will require more emphasis on location decisioning. Download our latest report: https://okt.to/5ZIhrC

Well spent 15min to read the summary of the latest edition of JLL's Global Real Estate Perspective. Some key findings: 👉 Economic outlook: The global economy's resilience continued in Q1 of 2024 despite geopolitical uncertainty, with growth remaining subdued. However, inflation easing and clearer timing for policy rate reductions should build momentum during the second half of the year and into 2025. 👉 Pricing Dynamics: Investor propensity to transact is greater in markets where price adjustments are more transparent. Hence a stabilization of price discovery, especially in the U.S. and UK. There has been an increase in Global Bid Intensity across most sectors in early 2024, with dynamics stronger for the logistics and living sectors. Stability of rates and investor confidence will be critical for the resumption of market improvements. 👉 Debt Markets: Debt market conditions continued to improve in early 2024, both pricing and liquidity. 👉 Investment Activity: Direct investment volumes into commercial real estate declined 6% year-over-year to US$135 billion in Q1. The pace of declines has started to stabilize indicating early signs of stability. 👉 Sectoral Dynamics: Divergent dynamics remain in the property sectors with growth-oriented sectors like logistics, living and data centers being the focus. 👉 Office: Global office leasing volumes were 8% higher compared to the previous year. Performance diverged across regions, with leasing activity up in the U.S. and in Asia Pacific, while volumes were 7% lower in Europe. Upgrading into higher quality space continues to be a priority for many occupiers, and downsizing trends contributed to continued occupancy losses. The global vacancy rate rose by 30 bps to hit 16.5%, with additional increases in North America and Europe, while vacancy edged lower in Asia Pacific.

Optimism Surges in APAC Real Estate: WTW Survey Reveals 54% of Firms Expect Asset Values to Rise, 68% Anticipate Rental Rate Improvement Despite Market Challenges https://buff.ly/4blXDjQ

Amidst a landscape marked by geopolitical flux and shifting interest rates, our Global Real Estate Perspective for May shows both opportunities and challenges. Growth hasn't yet returned but it's not the same for all - the office market is improving, logistics stays cool and retail and hospitality is robust. Hopefully, the stage is set for a gradual upswing as we move through 2024 and into 2025.

All information on the German #property market at a glance: Our updated Colliers #CitySurvey shows the most important trends on the German investment and leasing markets. The subdued economic development will curb demand on the commercial markets in the coming months. The interest rate environment has remained comparatively stable in the first three months of the year. Overall, there is better predictability with lower volatility than in 2023. The upward pressure on initial yields remains in this environment, but has recently eased somewhat. The risk premium for grade A #office properties in the top 7 is around 250 basis points at the end of Q1 2024. This means that real estate investments currently appear more attractive than in the previous year. For detailed information, including on all other sectors, take a look at our digital City Survey. The page is updated every quarter, just bookmark it. Click here for the City Survey: https://lnkd.in/ee6xr6zr I wish you exciting insights! #BeColliers #research #investment #office #retail #industrial #residential #foresight

Commerical real estate sentiment at the highest level since Q2 2022. Our National Head of Global Portfolio Solutions Francesco Demarco has said that whilst there were expectations of stabilising global economy, largely due to cooling inflation, in Australia 2024-2025 is still likely to be a period in which businesses were focused on driving company performance through greater efficiencies, including through the optimisation of real estate portfolios. "Effectively we're seeing companies trying to do more with less". Download the full report here to find out more from the Q4 Global Cirporate Real Estate Sentiment Index: https://lnkd.in/gpyP-ghB Francesco Demarco Katherine Moss Neil Murray Lisa Mhaya Mark Blinco Ben Burston

The First Cushman Commandment: Market Research & Trends: Conduct thorough market research to understand trends, demand, and potential areas for growth in your local commercial real estate market. Paying attention to different trends for how tenants currently utilize space for operations. Remember, these tips are general guidelines, and adapting them to your specific investment goals and the ever-changing real estate market conditions is crucial. Working with a professional and licensed commercial real estate agent is recommended.

Overall CRE leader sentiment is at its highest level since Q2 2022. Lee Elliott, our Global Head of Occupier Research, provides the following key insights into a recent data set provided by hundreds of major commercial real estate occupier groups (as detailed in their latest report - CRE Sentiment - Q4 2023): Overall CRE leader sentiment is at its highest level since Q2 2022. Stronger RTO (Return to Office) mandates & a focus on compliance fuel improved sentiment about a return to pre-pandemic levels of occupancy within the next 6 months. Sentiment toward increasing office density turns positive and may be delivered through a more intense approach to hot-desking. More occupiers are actively relocating core functions in response to growing physical and functional obsolescence. Momentum continues to build around the future offshoring of activity, which achieved its highest score since Q2 2022. Sentiment around increasing the proportion of sustainable buildings within a portfolio has returned to positive territory. Of course, each market is idiosyncratic and the ACT is no different. Our office market is fuelled by Federal and Local Government sentiment/strategy. For example, the Commonwealth public service headcount has jumped almost 10 per cent in 12 months, according to the latest data released by the Australian Public Service Commission. As of December last year, there were 177,442 APS employees, 9.9 per cent higher than the same time in 2022. That’s almost 16,000 more jobs filled, making it the highest total of APS employees in a decade. Of the total headcount, 89.9 per cent are ongoing (up 10.9 per cent from 2022) and 10.1 per cent are non-ongoing (up 1.6 per cent). There were 26,764 ongoing engagements over the 12 months and 11,065 ongoing separations. The ACT is home to 38.1 per cent of the entire APS workforce, with 67,552 located in the capital. But of course, this is in stark contrast with the mass layoffs of contractors, as Labor rolls out their "in-sourcing" policy... Click the link below to receive a copy of the report 👇