Investment group Starwood has welcomed a “buzzing” reopening of London and the return of international real estate investors and financiers to the UK, as economies look to recover from the Covid-19 pandemic.
In a quarterly update from its London-listed Starwood European Real Estate Finance, the company noted that business travel is picking up, with its investment adviser’s team “travelling extensively for international investment and lending opportunities” and now seeing other investors and bankers doing the same.
Starwood added that non-essential travel has also increased, “with relationship managers on trips for client meetings to re-kindle connections and relationships and to try to develop new ones”.
Since late September there has been a “huge increase” in bankers travelling to the UK from the US, the company said, adding: “Networking drinks and dinners are back.”
Those US visitors have noted London’s strides in reopening, Starwood said. “The Americans we met all noticed how far ahead London was in returning to normal compared to US cities,” the team added in the update. “We can see from our offices that the West End of London is buzzing with activity. Pubs and restaurants are full, the streets are busy and at lunchtime there are regular queues at sandwich shops.”
The company said it sees a “very strong” outlook for new loan origination, particularly in the hospitality and retail sectors, as well as in the UK and European office markets.
“Looking forward to the fourth quarter and beyond we anticipate a strong level of transactional activity to continue,” the company said. “The strength and potential of ‘beds, meds and sheds’ have been strong themes, and we continue to see interesting value-add lending opportunities in these sectors and others for the company.”
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