Direct Private Real Estate Returns

In 2016, direct private real estate returned 7.4 percent but across major metropolitan markets there was considerable variation due to differences in local market conditions.

Strength of Returns by Global Market

Source: MSCI
Source: MSCI

In 2016, direct private real estate returned 7.4 percent but across major metropolitan markets there was considerable variation due to differences in local market conditions. Three cities recorded total returns in excess of 15 percent, Amsterdam (17%), Stockholm (15.7%) and Durban (15.7%). There were also negative returns in Calgary (-2.8%), Edmonton (-0.6%) and Rome (-0.1%). Most markets saw total return results within the moderate range of 5 to 9 percent for the year ended December 2016.