Capital growth turns positive for European non-listed real estate assets

The INREV European Quarterly Asset Level Index recorded a total return of 1.17% in Q2 2024

• The European non-listed real estate market delivered a total return of 1.17% in Q2 2024, marking the highest performance in seven quarters. This represents a q-on-q improvement of 76 bps, driven by capital growth of 0.10%. The one-year rolling return remained negative at -0.52%.

• Dutch assets continued to lead performance among the major markets for the fourth consecutive quarter, with returns rising by 145 basis points to 2.56%. The UK followed with a return of 1.59%, underpinned by capital growth of 0.51%. French assets posted their first positive return since Q2 2022, at 0.10%. In contrast, German assets recorded a negative total return of -0.61%, declining by 51 bps from Q1 2024.

• Residential assets remained the top-performing sector, delivering a return of 2.37%, an increase of 151 bps q-on-q, supported by capital growth of 1.55%. The industrial/logistics sector followed with a total return of 1.43%, its highest level since Q2 2022. Retail assets also posted positive returns at 1.01%. While Office assets continued to underperform with a return of -0.49%, this represented a 41 bps improvement from the previous quarter. Notably, UK offices returned 1.12%, indicating positive momentum within continental Europe.

INREV is calling for members to join this important initiative. 

In Q2 2024, INREV is pleased to welcome its newest Asset Level Index participant, FIL International Ltd, bringing to 33 the number of companies participating.

If you would like to schedule a demo of the Asset Level Index Analysis tool or have questions about this index, contact Jeanne Besner (jeanne.besner@inrev.org) or visit the Asset Level Index page.