The net fund assets of all institutional real estate funds decreased in 2024, according to figures released by Deutsche Bundesbank. Compared to €182.2 billion ($197.9 billion) by year-end 2023, the total recorded on 31 December 2024 was down to €178.3 billion ($193.6billion). This implies a decline by 2.1 percent or €4.2 billion ($4.57 billion).
Camille Dufieux, managing director of INTREAL, commented: “This is a new trend, because the total net fund assets across all funds kept seeing substantial growth over the past years, including in 2023. For the sake of comparison: Fund asset growth in 2023 amounted to around 5.0 percent year on year, while in 2022, it was actually at about 12.5 percent still. The drop in 2024 is attributable primarily to asset value markdowns.
Meanwhile, the net cash inflow followed a converse trend compared to the net fund assets. In sum, the institutional real estate funds registered a net cash inflow of €7.4 billion ($8 billio
