As property assets continue to be repriced, the asset class itself remains a cornerstone of many institutional clients’ portfolios. This is one of the key findings of Universal Investment’s 12th annual survey among German institutional investors, conducted in late 2023.

The survey underlines the key status the real estate asset class has for German institutional investors. On average, respondents said they aspire to a portfolio allocation of 21 percent in real estate. The asset class also benefits from its reputation as a hedge against a loss of value. Three-quarters of investors attribute an important role to real estate as protection against inflation within their portfolios.

The research showed that German institutional investors currently hold an average of 69 percent of real estate investments in Germany, 23 percent in the rest of Europe, 5 percent in North America and 3 percent in the Asia Pacific region. In the near future, allocations to Germany will decrea