A recent poll at the IPE Real Assets Global Conference & Awards in Copenhagen revealed that over three-quarters of attendees are considering reallocating investments from the U.S. to Europe. This shift is driven by several factors:
1. U.S. Policy Uncertainty: Trade tariffs and fiscal policy changes under the current administration have introduced significant volatility in the U.S. market, pushing investors to seek alternatives.
2. Fragmented but Opportunity-Rich Markets: Europe’s diversity presents challenges—but also opportunities—for investors who can navigate differing regulatory environments, tax regimes, and legal systems. This fragmentation allows well-positioned managers to identify and capitalise on mispriced assets and country-specific dislocations, particularly in the lower mid-market.
3. High-Growth Sectors: Europe is seeing increasing momentum in many real estate sectors that are already mature and highly competitive in the U.S.
These nascent European markets offer significant runway for growth, with less saturated competitive dynamics and strong demand tailwinds. This trend may underscore a broader rebalancing in global real estate investment strategies, with Europe emerging as a preferred destination amid U.S. market uncertainties.
With over a decade of sector-wide relationships in the lower mid-market across Europe, we blend structuring expertise with operational depth, focusing on opportunities in the lower mid-market across all major real estate sub-sectors. https://lnkd.in/eX__SWFx
