The real estate market is moving further into recovery, supported by contracting supply, improving demand and accelerating transaction activity, according to Nuveen’s 2026 midyear outlook.
Private real estate values began to stabilize in 2025, and those trends are now gaining momentum as investors return to the market, the firm said.
Nuveen remains focused on sectors with strong income potential and favorable supply/demand dynamics, including senior housing, medical office and data centers.
The outlook favors defensive real estate sectors where income generation and income resilience remain central to performance.
Medical office and senior housing are highlighted as attractive opportunities because of limited new supply, demographic demand and solid fundamentals.
Grocery-anchored retail also remains a favored sector, particularl
