The real estate market waded through a challenging 2023, as the sector is particularly sensitive to high interest rates, inflation and geopolitical issues. Hence, it is unsurprising that the results of the recent ANREV/ INREV/ PREA Investment Intentions Survey 2024 reveal the influence of the current macroeconomic environment on real estate investment persists as a key theme this year. Across all investor domiciles, macroeconomic influence of interest rates and inflation are the two key factors potentially affecting 2024 investment. Nonetheless, the Year of the Wood Dragon may be a good time for rejuvenated beginnings and setting the foundation for long-term success.

Despite the denominator effect, real estate allocations are still holding up. Institutional investors plan to maintain their allocations for real estate globally, reiterating unlisted real estate as an important asset class. Only a narrow gap of 20 basis points lies between current (10.6 percent) and tar