By Simon Mallinson on November 8th, 2018
Global commercial real estate transaction activity slipped in the third quarter, the new edition of Global Capital Trends shows, as a swell of entity deals and an uptick in U.S. activity wasn’t enough to offset weaker deal volume in Europe and Asia Pacific.
The volume of income-producing assets fell 5% in the third quarter compared with a year earlier. Weakness in Germany and the U.K. weighed on European activity levels, and in Asia Pacific all the leading markets except for South Korea and Singapore stalled.
The much-maligned retail sector showed the strongest volume growth from a year earlier, gaining 23%. The increase was due in large part to one entity-level deal: the acquisition of the U.S.’s GGP by Canada’s Brookfield AM. Entity-level megadeals have been more evident as investors seek to place significant amounts of capital in single transactions.