Real estate investment diversifies portfolios and delivers the returns needed by (institutional) investors, such as pension funds and insurance companies, to fund pension and insurance obligations. These long-term investments provide a critical contribution to the real economy in Europe.

Commercial property contributed EUR 452 billion to the EU economy in 2019, in fact, 3.1% of European GDP, and directly employs over 4 million people – more jobs than in the banking sector and more than in automotive and telecommunications sectors combined.

Half of all commercial property is leased to businesses that need the flexibility of renting rather than owning their premises. The EU commercial property sector supplies 3.5 billion m2 of floor space to business.

Property, both residential and commercial, is critical to achieving the EU’s sustainability targets. They offer huge energy-saving potential through investment of around EUR 60 billion per year – a major source of economic activity. Investment in new commercial property buildings and the refurbishment and development of existing buildings on average totals nearly EUR 257 billion each year – representing over 10% of total investment in the European economy.