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Altus Group Releases its Q3 2024 Pan-European Dataset Analysis on CRE Valuation Trends

LONDON, Nov. 13, 2024 (GLOBE NEWSWIRE) — Altus Group Limited (“Altus”) (TSX: AIF), a leading provider of asset and fund intelligence for commercial real estate (“CRE”), today released its Q3 2024 Pan-European dataset analysis on European property market valuation trends.

Each quarter, Altus Group centralizes and standardizes CRE valuation data for the European market, pulling insights into the factors driving commercial property valuations. The Q3 2024 aggregate dataset included Pan-European open-ended diversified funds, representing €29 billion in assets under management. The funds cover 17 countries and primarily span the industrial, office, retail and residential property sectors.

“The third quarter marked the first time in two years that the movement in property values across the Pan-European valuation dataset turned positive,” said Phil Tily, Senior Vice President at Altus Group. “We are seeing green shoots emerge across all main property sectors which, combined with last week’s second European Central Bank rate cut this year, points to greater stability ahead.”

Despite a continued uptick in valuation yields, CRE values across the Pan-European valuation dataset were up 0.63% across all commercial property types, a noteworthy improvement after two years of declines. Valuation yields continued to increase across all property types for a tenth consecutive quarter, putting moderate downward pressure on values. In Q3, low single-digit yield increases accounted for -0.5% value change across the data set, compared to -0.7% in the prior quarter and compared to -1.4% in the opening three months of the year. The key drivers of the appreciation in values were improvements in cash flows and a reduction in projected capital modelled into valuations.

Key highlights by sector include:

For a detailed review of the sector trends by asset class, please click here.

About Altus Group

Altus Group is a leading provider of asset and fund intelligence for commercial real estate. We deliver intelligence as a service to our global client base through a connected platform of industry-leading technology, advanced analytics, and advisory services. Trusted by the largest CRE leaders, our capabilities help commercial real estate investors, developers, proprietors, lenders, and advisors manage risks and improve performance returns throughout the asset and fund lifecycle. Altus Group is a global company headquartered in Toronto with approximately 2,900 employees across North America, EMEA and Asia Pacific. For more information about Altus (TSX: AIF) please visit www.altusgroup.com.

FOR FURTHER INFORMATION PLEASE CONTACT:

Elizabeth Lambe
Director, Global Communications, Altus Group
+1-416-641-9787
elizabeth.lambe@altusgroup.com


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