Unlocking hidden potential: Mid-term outlook and investment preferences for global real estate
High levels of dry powder and the search for yield continue to drive up prices in real estate markets, according to Partners Group’s 2018 Private Markets Navigator. In this environment, Partners Group is focusing on investing in assets benefiting from the two main trends shaping the global real estate market: technological improvements generating demand for logistics space, and new urbanisation generating demand for modern offices and apartments.
Logistics: E-commerce drives demand
The logistics sector is benefiting from the ongoing increase in e-commerce across all regions. Companies around the globe are placing increased emphasis on their supply chains, as well-located and well-specified fulfilment centres and distribution facilities are key to efficient operations. This creates resilient demand for both XXL fulfilment centres and last-mile distribution facilities, although investor demand has pushed up capital values to all-time highs in