The net assets of regulated European real estate alternative investment funds (AIFs) totalled \u20ac1,048.9 billion at the end of 2025 \u2013 an increase of 1.4 per cent, or \u20ac14 billion, compared with the previous year. This is according to the latest figures from the European Fund and Asset Management Association (EFAMA). Growth in the number of funds also continued last year. The number of European real estate AIFs increased by 226 funds, from 4,032 at the end of 2024 to 4,258 at the end of 2025.<\/p>\n\n\n\n
\u201cEuropean property funds continued to record modest growth last year, albeit at a significantly more subdued pace than in previous years. The latest figures are an initial sign that the market is bottoming out and gradually stabilising,\u201d says Ilva Diaco, Conducting Officer for Portfolio Management, Marketing & Distribution at INTREAL Luxembourg. \u201cWe are currently seeing a selective recovery \u2013 but there is still no sign of a broad-based easing. The first quarter of 2026 was also marked by growing nervousness, particularly due to geopolitical tensions, economic uncertainties and persistent inflation concerns. Against this backdrop, the quality of assets and financing security are becoming an even greater focus for investors.\u201d<\/p>\n\n\n\n
A closer look at capital flows highlights the continuing challenging operating environment. Overall, European real estate AIFs recorded net outflows of around \u20ac11.17 billion last year. This corresponds to an outflow rate of around 1.08 per cent of the previous year\u2019s assets.<\/p>\n\n\n\n
Luxembourg recorded above-average outflows, with an outflow rate of 6.8 per cent (\u2013\u20ac9.26 billion), whilst Germany, at 1.13 per cent (\u2013\u20ac3.24 billion), was roughly in line with the European average. In contrast, there were positive capital flows in individual markets: for instance, property funds in Greece achieved net inflows amounting to 7.3 per cent of the previous year\u2019s assets (+\u20ac535 million) and in Switzerland of 4.5 per cent (+\u20ac2.37 billion).<\/p>\n\n\n\n
\u201cCapital flows paint a mixed picture across Europe. Whilst some markets continue to be characterised by outflows, investor interest is picking up again in other regions. Overall, the environment remains challenging,\u201d adds Ilva Diaco.<\/p>\n\n\n\n
\u201cDespite the challenging market environment, INTREAL Luxembourg recorded significant growth and a substantial expansion of its client base last year. This growth is driven by increasingly discerning investors who expect bespoke solutions and close support \u2013 which is precisely what we offer through our local boutique approach, combined with the strength of our platform in Hamburg,\u201d explains Ilva Diaco.<\/p>\n","protected":false},"excerpt":{"rendered":"
The net assets of regulated European real estate alternative investment funds (AIFs) totalled \u20ac1,048.9 billion at the end of 2025 \u2013 an increase of 1.4 per cent, or \u20ac14 billion, compared with the previous year. This is according to the latest figures from the European Fund and Asset Management Association (EFAMA). Growth in the number […]<\/p>\n","protected":false},"author":9,"featured_media":7478,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_et_pb_use_builder":"","_et_pb_old_content":"","_et_gb_content_width":"","footnotes":""},"categories":[76],"tags":[],"class_list":["post-12433","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-market-comments"],"acf":[],"_links":{"self":[{"href":"https:\/\/www.intreal.com\/en\/wp-json\/wp\/v2\/posts\/12433","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.intreal.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.intreal.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.intreal.com\/en\/wp-json\/wp\/v2\/users\/9"}],"replies":[{"embeddable":true,"href":"https:\/\/www.intreal.com\/en\/wp-json\/wp\/v2\/comments?post=12433"}],"version-history":[{"count":2,"href":"https:\/\/www.intreal.com\/en\/wp-json\/wp\/v2\/posts\/12433\/revisions"}],"predecessor-version":[{"id":12435,"href":"https:\/\/www.intreal.com\/en\/wp-json\/wp\/v2\/posts\/12433\/revisions\/12435"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.intreal.com\/en\/wp-json\/wp\/v2\/media\/7478"}],"wp:attachment":[{"href":"https:\/\/www.intreal.com\/en\/wp-json\/wp\/v2\/media?parent=12433"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.intreal.com\/en\/wp-json\/wp\/v2\/categories?post=12433"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.intreal.com\/en\/wp-json\/wp\/v2\/tags?post=12433"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}