Global investors still failing to hit allocation targets
The fourth annual Institutional Real Estate Allocations Monitor, from Hodes Weill & Associates and Cornell University’s Baker Program in Real Estate, shows institutional investors around the world are continuing to raise their target allocations to real estate and are on track to break the 10 percent barrier next year, but at the same time they are still significantly underinvested against their targets. The extent of the underinvestment varies by region.
The survey looked at the real estate investment activities of 228 global, regional and national institutional investors in 28 countries, with combined assets under management of more than $10.3 trillion and total real estate assets of approximately $920 billion. As in previous years, significant variances were evident in the treatment of real estate investments by region, size and type of investor. The principal findings of the survey are as follows:
- Target allocations to real estate continue to i