Value creation: Providing solutions to complex situations
With near-record pricing for all main property types globally and a backdrop of rising interest rates, investors continue to search for value-creation opportunities in off-market situations, according to Partners Group’s 2019 Private Markets Navigator. To source these opportunities, a strong network and the ability to provide bespoke solutions are key. From a sector perspective, Partners Group continues to overweight office, logistics/industrial and residential properties in all regions. In contrast, retail continues to be an underweight due to uncertainty in the sector.
Office: Office rents continue to grow on a global scale, especially in prime markets. Cap rates for the segment fell 15 basis points to 20 basis points year on year, making it more challenging to find attractive investment opportunities from a relative-value perspective. Our focus has, therefore, shifted toward office properties located outside of CBD areas in major Tier 1 and econ