Fundamentals remain strong despite ‘slowbalization’
Despite a weakening in economic growth in Europe, real estate fundamentals in the region remain healthy, particularly in the prime CBD office and industrial markets.
LaSalle Investment Management’s 2019 Mid-Year Investment Strategy Annual report also concludes that property markets have remained resilient and relatively impervious to “slowbalization” — a combination of aging societies, the rise of nationalism and trade disruption.
The report advises investors to remain active in the UK office market and focus on stock selection and secular drivers in the country’s strongest markets. Brexit and its impact on depreciation of the pound may provide an opportunity to “exploit strong fundamentals at attractive prices”, while affordable housing, healthcare and educational facilities are increasingly becoming attractive risk-adjusted mainstream strategies for those looking to invest in the UK.
Continental European real estate follows a similar sto