Outflows from UK real estate funds slowed in June, although the sector is still approaching three full years of monthly sell downs.
Investors sold a net £248m last month, according to data from fund network Calastone. That figure is below the monthly average of £286m since many funds reopened last autumn, but nonetheless marks a 33rd consecutive month of net redemptions.
The improvement was driven by reduced selling, rather than increased buying.
Edward Glyn, head of global markets at Calastone, said: “Rapid economic recovery ought to be positive for the real estate sector, but there is still a lot of uncertainty to contend with.
“The commercial real estate sector is diverse by sector, price point and location and although some parts of the market have yet to define their post-pandemic future, others, such as those in logistics, have had a good crisis and are going to do very well from here on, too. For now, investors clearly prefer to stay away until the future shape of the asset class becomes a bit clearer.”
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