Highlights from the INREV Expert Seminars in London for September 2024

If you attended INREV’s seminars in London on 18 and 19 September, we hope you gained valuable insights from leading industry experts and enjoyed networking with peers. For those who missed it, here’s a summary of this year’s key discussions.

This year’s Advanced Tax & Regulatory Seminar attracted 65 participants and focused on the potential impact of macro-political and economic trends reflected in recent European elections on tax and regulatory policies affecting real estate investment.

The event commenced with a warm welcome from the moderator, Friederike Werner of DWS, setting a positive tone for the discussions ahead. Here are some of the highlights:

• Jeff Rupp from INREV provided an overview of broad political trends and their influence on the EU and UK economies and government policies. He emphasised the instability caused by the rapid implementation of regulatory changes and key global disruptions contributing to a challenging landscape for policy and investment.
• Michael Newell and Adam Blakemore from Cadwalader, Wickersham & Taft, offered an overview of recent tax and regulatory developments impacting the real estate sector. Adam highlighted the EU and UK’s focus on preventing tax avoidance, while Michael emphasised the challenges posed by overregulation. Both stressed the complexities of navigating multiple tax and regulatory regimes require flexibility and patience, especially in cross-border transactions.
• Vanessa Muscarà from Europa Capital Partners addressed how tax and regulatory risks are shaping investment appetite. She highlighted key drivers of real estate performance in the recovery, noting that while risks like legislative and regulatory changes are unavoidable, they can be mitigated with strategic investment approaches. She emphasised incorporating risk into valuations shifting from relying on historical data.
• The seminar concluded with a panel moderated by Keith O’Donnell from Atoz. Vanessa Muscarà, Nina Grunow-Jensen from P+, and Emma Phillips from UBS AM discussed practical strategies for tailoring investment structures to meet client needs while mitigating risks in an increasingly complex regulatory landscape.

The Finance & Operations Seminar, attended by 75 participants, focused on the evolving role of CFOs, unlocking value from reporting, risk and debt management, operational real estate, and the impact of AI. John Ravoisin from PwC served as the moderator. Here are some key takeaways from the seminar:

• Constantin Sorlescu from INREV opened with remarks on the evolving role of the CFO – how their responsibilities are no longer confined to just financial oversight, but also involve taking a more strategic role and integrating ESG factors, asset-level data, and technology into their decision-making.
• Marianne Abib-Pech from Transition First drew from her experience as a former Global CFO at Shell Aviation, providing a roadmap for how CFOs can evolve into strategic leaders who drive business development and remain one step ahead of market changes.
• A panel featuring Olivier Thoral from AXA IM Alts and Sally Doyle Linden from Clearbell discussed the growing responsibilities of CFOs in managing complex fund structures, overseeing capital flows, and adapting to ESG reporting requirements. The panel also addressed the challenges of navigating volatile markets and validating ESG data.
• Nicole Mitchell from Kirkland & Ellis provided insights on the governance challenges within operational real estate – INREV published an industry definition. She explained the different operating models and touched on conflicts of interest, fiduciary duties, and performance considerations when exiting investments.
• In another panel, Amilcar Grot from Achmea Investment Management and Derk Welling from APG Asset Management explored how standardised reporting templates like the INREV SDDS are helping investors better compare data and integrate ESG metrics. A poll revealed that over 90% of the audience currently use five or more templates for investor reporting, and standardising reporting could save significant time. Both panellists emphasised the importance of transparency and communication between managers and investors.
• David Thomas Adderson from Schroders Capital highlighted the growing complexity of risk management in real estate, especially with the rise of ESG considerations. He discussed the potential for AI to play a role in managing risk and identifying opportunities in the future.
• James Halstead from Blackrock touched on macro-level trends in real estate debt markets, noting ongoing challenges with inflation, geopolitical risks, and capital availability.
• Closing the seminar, Jeremy White, Senior Innovation Editor at Wired, gave a keynote on the transformative potential of AI and emerging technologies in real estate. He encouraged the audience to explore AI tools to enhance efficiency and stay ahead of future innovations.

We would like to thank all the speakers, panellists, and participants for their contributions. Be sure to check out INREV’s event calendar for upcoming seminars in 2025.

You can download a copy of the presentations from both seminars below.