From the recent forum organised by Mergermarket in Madrid, the dimensions of the investors’ appetite in the property market:
1- In Europe, the 11 major pension funds allocate in average 11% of their investments in the real estate.
2- If we extrapolate these numbers to the big sovereign wealth and private funds, they would allocate 144 billion Euros in Japan and 84 billion in Norway,”.
3- Funds are only able to invest 1% but expect to allocate between 5% and 6%.
4- Norges – the main sovereign wealth fund in the world, is of pension in the Norwegian government– was planning, in 2013, to invest 700 billion Euros, out of which 35 billion would go in the real estate. The smallest number for investment per operation that was forecast was of one billion Euros.
5- In the 13 richest countries in the world, the main sovereign wealth and pension funds manage 32 trillion Euros out of which in between 1,6 and 3,2 trillion go to the real estate.
6- This volume grows in between 9% to 10% every year; meaning that in between 160 and 320 billion Dollars are generated (142 and 283,6 billion Euros) in liquidity for the real estate sector yearly.