“People are usually afraid of change because they fear the unknown. But the single greatest constant of history is that everything changes.”
The meaning of this quote, from historian and author Yuval Noah Harari, will not be lost on most people in real estate. In our industry, the past decade has been transformational, to say the least. Accelerated and seismic shifts in demographics, technology and the society have resulted in the evolving real estate landscape we now operate in. Even before the pandemic, investors were warming to the notion that we can no longer regard real estate sectors as a simplistic dichotomy between the traditional and the alternative. To that end, allocations and risk premiums must move in lockstep with this evolving view.
What used to be regarded as alternative, such as industrial real estate, has clearly become mainstream for investors. Logistics is no longer viewed as a business cost, but an asset class that is income generating and valu
