Private real estate: How to maintain a flexible approach
COVID-19 has had a profound impact on the real estate market, with capital shifting increasingly towards the residential and industrial sectors and away from office and retail. To remain flexible in this environment, Partners Group combines its thematic investment approach — targeting subsectors that benefit from transformative trends — with situational investing in opportunities that have a strong need for a solutions provider.
Following the unprecedented economic disruption caused by the COVID-19 pandemic, global real estate transaction activity increased in the first half of 2021, compared with the same period in 2020, as travel restrictions within the United States and Europe started to loosen, allowing for investors to perform on-the-ground due diligence.
The pandemic has accelerated the bifurcation of investor appetite, with capital flowing increasingly away from office and retail, and towards residential and industrial,