Knight Frank’s 2024 Wealth Report shows that almost a fifth of ultra-high-net-worth individuals (UHNWIs) plan to invest in commercial real estate this year, and more than a fifth are planning to buy residential property.
In 2023, private capital invested $338 billion globally in CRE, equating to a 49 percent share of total investments. That’s the highest share on record for private capital (in 2022 private capital made up 48 percent of global CRE investment).
The smallest year-on-year decline among investors in CRE in 2023 was among HNWIs, with a 19 percent decline in 2023 compared with 2022.
Industrial and logistics was the most invested in CRE sector in 2023, amounting to $174 billion of global investment.
For private buyers, however, living sectors were the most popular, at $100 billion globally, followed by industrial and logistics ($70.7 million) and then office ($66.6 million).
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