Real estate credit has matured significantly during the past 20 years, evolving from a niche alternative into a sophisticated, strategic allocation for institutional investors.

The Australian commercial property sector has reached an inflection point, with improving metrics being reported by the listed A-REIT sector. Investors appear to be regaining confidence, as A-REITs indicated property income continued to grow, occupancy rates remained stable, and capitalisation rates stabilised or began to recover.

When private equity firms present their track records to investors, the charts often look too good to be true — higher returns with lower volatility than public markets. As it turns out, they often are too good to be true.

A new report from Institutional Real Estate, Inc — 2025 Investment Management Best Practices — distils candid insights from interviews with leading real estate investment consultants and senior officers at major pension funds and insurance companies.

Some 26 closed-end real estate funds held a final close in the third quarter, raising US$20.1 billion, according to Institutional Real Estate, Inc’s IRE.IQ database — similar to the 28 funds that raised US$24.5 billion in the second quarter.

The A$400 billion (US$261 billion) Australian­Super has created a new UK Living platform, with an initial £500 million (US$657 million) of investment.

Cornell University’s Baker Program in Real Estate and Hodes Weill & Associates have released the findings of the 13th annual Institutional Real Estate Allocations Monitor. The 2025 Real Estate Allocations Monitor focuses on the role of real estate in institutional portfolios, and the impact of institutional allocation trends on the investment management industry.