Real Estate Outlook: What lies beneath the waters?

Economic recovery is well underway in Europe, although the Delta variant dampens some of the promise from the first half of the year. Investor sentiment is more resilient than the underlying occupier markets, but is heavily targeted towards the “beds, sheds and meds” sectors. We continue to expect stronger returns away from the most crowded part of the market, or through development targeting markets and sectors with the strongest occupational dynamics.