In the decade of persistently low interest rates between 2012 and 2022, portfolio managers at institutional investors were desperately seeking more profitable alternatives to low-yielding fixed-income securities. Real estate, in particular, became the focus of attention. The result was a golden decade for the German real estate markets.
The rapid rise in lending costs since 2022 put an abrupt end to the golden era for the German real estate markets. For portfolio managers of institutional investors, who often expanded their real estate allocation with the help of funds in the past, the cards have now been reshuffled.
However, as investors rebalance their exposure to different types of real estate sectors or risk classes, this offers potential new investors the opportunity to enter existing and established German real estate investments and to better assess risks and opportunities.
This increases the demand for a liquid secondary market that offers a discreet exi
