Investment volumes in the first half of the year increased by 10% both in the UK and across Europe, according to research from CBRE.
The company says total investment into European real estate in H1 2024 stood at €86.5bn (£72.9bn), a 10% increase on the equivalent period last year.
There was also a 16% increase in Q2 investment levels to €45.5bn compared with the same period in 2023. However, this is still behind the European 10-year average of €71.7bn.
Across Europe, offices finished narrowly ahead of the living sector in overall H1 spend, with volumes up 1% to €18.7bn compared to living where values were up 6% at €18.3bn.
European industrial volumes were up 7% at €16.1bn and retail saw a 1% rise to €13.5bn. Hotel volumes witnessed a 62% increase to €9.9bn.
The UK’s 10% increase in investment volumes compares with 15% in Germany, 26% in the Nordics and 71% in the Benelux region.
CBRE European capital markets managing director Chris Brett said: “It is clear that investment sentiment is starting to improve across Europe and the uptick we have seen supports CBRE’s forecast of 10% growth in market volumes for 2024.
“The resurgence in activity has been driven by a stabilisation of asset prices, with prime yields across all major sectors remaining flat since March. As the market continues to recover, buyers and sellers will start to become more comfortable with pricing, which will further support the more positive market dynamics we are starting to see.”
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