📉 Institutional Investors Hit Pause on CRE Allocations 🏢A new survey from Hodes Weill & Associates and Cornell University reveals a dip in institutional real estate allocations for 2025 — the first in 13 years:
- 📊 Target allocations dropped 10 basis points to 10.7%, but are expected to rebound in 2026.
- 🌍 Asia Pacific led the decline, down 100+ basis points; Americas dipped 40, while Europe & Middle East held steady.
- 💼 Institutions are cautiously timing the market amid global uncertainty and better returns elsewhere.
- 🇺🇸 Despite trade tensions, U.S. cross-border investment is up — 92% of firms plan to add assets in 2025.
- 🇨🇦 Canadian institutions boosted cross-border activity by nearly 20% YoY.
- 📈 CRE returns in 2024 averaged 1.4%, reversing 2023’s losses.
📌 The dip is seen as tactical, not a long-term shift. Real estate remains a key part of global portfolios.💬 What’s your take on this pause? Share your thoughts below! 👇
Source: SURVEY: Institutional Investors Pull Back From CRE For First Time In 13 Years
