According to a new report released on 15 March by JLL, the global ageing population will drive real estate transaction volumes over $1tn (£704bn) globally by 2020, up from $700bn (£484bn) in 2015.
It is suggested that, driven by the need to cater for the ageing global population’s investment requirements, institutions will increase their market share, which currently sits at 20%.
Property investment allocations have grown in recent years, with 2015 seeing a record £15bn in transactions in the UK alone (representing c.25% of all commercial real estate investment), up from less than 10% five years ago.
Real estate investment markets have also witnessed several new trends as the sector has become more global, helped by its stable income stream, the attraction of diversified portfolios, its apparent lower risk and its use as a hedge against inflation.
The definition of mainstream real estate investment has also widened and now includes healthcare, care homes, student housing, residential development, as well as public and private real estate debt.