China reinforced as key market for real estate

China has been recognised as a prime market for real estate investment at the European Association of Investors in Non-listed Real Estate Vehicles’ (INREV) tenth annual conference in Barcelona.

Keynote speaker, Jim O’Neill, former Goldman Sachs, chief economist told delegates that despite a recent slowdown in GDP expectations, China remained on course to be the world’s leading economy
by 2050.

He highlighted the fact that while recent Purchasing Managers’ Index (PMI) data for China was disappointing, the long-term trend of spending outstripping industrial production would deliver significant benefits to the rest of the world. At the real estate level, this could open up opportunities for investment both into China and from China into other markets.

Delegates welcomed this positive message, which was echoed by other speakers, including Jon Gray, Global Head of Real Estate for The Blackstone Group.

One of the significant initiatives announced at the conference was the start of a consultation on the performance measurement module that will become part of the INREV Guidelines. This will contribute substantially to the continued improvement of transparency and consistency across the industry.

Commenting on the initiative, Maurits Cammeraat, INREV’s Director of Professional Standards, says: “This element of the Guidelines goes to the heart of what we’re trying to achieve as an industry, which is complete consensus on how to report performance. We want to create a level playing field that provides absolute clarity for all market participants on any vehicle’s performance record.”

The conference also marked the election of three new members to the INREV Management Board:
• Marieke van Kamp, Head of Real Estate & Alternatives, NN Group
• Michael Clark, Head of Investor Services EMEA, CBRE Global Investors
• Michael Hornsby, Partner, EY, Luxembourg

Between them, the three bring a wealth of experience to the Board that will support the association’s ongoing objectives to improve professionalism within the industry and to promote standardisation and best practice in Europe and beyond.

European Association for Investors in Non-Listed Real Estate Matthias Thomas, Chief Executive, INREV, commented: “We are delighted to welcome Marieke, Michael and Michael to the Board. They join at a key time for INREV and for non-listed real estate and will help us maintain momentum as we move into the next phase of evolution.”

Udo Schaffer, Head of Portfolio Management E.ON and Erwin Stouthamer, Principal, Composition Capital Partners were re-elected to the Management Board. Michael Morgenroth, CEO, Caerus Debt Investments AG, Jeff Jacobson, Global CEO LaSalle Investment Management and Deborah Lloyd of Nabarro have rotated off the Board having served six years.