Investment in alternative real estate assets will hit £20bn by 2019, almost double 2014’s £11bn volume.
A survey of investors at JLL’s annual alternative investment seminar predicted the 82% surge and found that 90% of respondents planned to increase their exposure to alternatives in the next one to five years.
Key targets will be student housing, which is set to see a 70% increase; hotels and hospitality, which will see a 69% increase; and healthcare, in which investment will rise by 66%.
Chris Ireland, UK chairman and lead director, capital markets, at JLL, said: “As we move towards 2019 and beyond, with what indicates to be an ever-increasing investor appetite, it’s likely that many of these assets will break out of the alternatives bracket and become a more mainstream choice for investors.”
