Total returns for European non-listed real estate funds hit 2.84 per cent in Q3 2021, up from 2.65 per cent in Q2, according to the latest INREV Quarterly Fund Index. Performance was powered largely by strong capital growth of 2.23 per cent, which marks the best result in nearly 15 years.
The INREV pan-European Quarterly Asset Level Index reflected similarly robust performances at an asset level, with a total return of 3.20 per cent, which was also driven by an impressive capital growth of 2.30 per cent. The latest pan-European results reveal a 12-month rolling total returns of 9.80 per cent at the asset and 8.45 per cent at the fund level, well ahead the 3-year rolling annualised averages of 7.14 per cent and 5.52 per cent, respectively.
The results from both indices indicate a strong resurgence in investor confidence towards non-listed European real estate – after the gradual recovery that was first reported in Q3 2020, following the initial impacts of the Covid-19 pandemic.
