Large investment inflows into speciality property sectors, such as logistics, industrials, healthcare and hospitality, are expected to lead to a substantial increase in the market value of Europe’s listed real estate sector over the next five years.
The market capitalisation of the benchmark FTSE Epra Nareit Developed Europe listed real estate index is forecast to double to €500bn by the end of 2022 from around €250bn at December 2017, according to Kempen, the Netherlands-based bank and investment manager.
The benchmark index has already doubled in size since 2010, helped by a number of real estate companies listing on the German stock exchange, such as Vonovia, LEG, Grand City Properties and ADO Properties.