INVESTMENT MARKET HIGHLIGHTS
- Following an exceptionally strong finish to 2025, real estate investment volumes in Q1 2026 presented a notably subdued picture. Overall transaction activity continues to be constrained by a renewed sense of caution in the market, driven primarily by geopolitical tensions and concerns over a potential energy crisis. As a result, investor sentiment has softened, with many market participants adopting a more selective and defensive approach to acquisitions.
- With €371 million transacted in Q1 2026, the start of the year is broadly in line with Q1 2024 (€364 million) and Q1 2023 (€431 million). While this does not represent a historical low, it places current activity within the lower range of historical performance. Year-on-year, Q1 2026 volumes fell by 75%, though this decline is partly attributable to the high comparison base set by the record-breaking year 2025, which saw exceptionally strong Q1 and Q4.
- In Q1 2026, transaction activity was broadly led by the hotel, retail and office sectors, each contributing close to one-third of total investment volume. The relatively balanced distribution across sectors suggests that, despite weaker overall volumes, capital remains diversified, with investors targeting opportunities across multiple asset classes rather than concentrating risk in a single segment.