Despite the Covid . So we inaugurate our mini guide today. A proactive and hopeful message, both for investors but also for readers intrigued by our columns. Yes, the situation seems to be slightly improving. But not all sectors are experiencing this strong recovery. Today, however, we have decided to focus on the positive segments. Those that have improved considerably. In spite of Covid, in fact. That is why, all that remains for us to do is to begin our mini-guide. We will deal with the target segments. Those that deserve special attention, because they stand out on the real estate scene. So, if you are ready, we can get started!
First of all, the time horizon of this analysis needs to be specified. The first six months of 2020 will be considered. Months in which it has been possible to record a real metamorphosis of the sector.
Let’s start with investments by sector. In principle, we identify the office segment to emerge. We are talking about 1.8 billion euros (compared to 1.7 billion in 2019). A minimal increase, but one that is exemplary in a period like the one we are experiencing. And perhaps even a little against the trend. Given the scarce need for new offices due to the famous smart working. An increase of 1% but which bodes well.
Also in terms of investment, a considerable increase is in the retail sector. This time the percentage is much higher. We are talking about 22% more than the previous year. In detail, 920 million euros are at stake, compared with 750 million euros in 2019. Two elements that make us understand how the value add is inherent in the most exemplary sectors of the real estate market.
As we pointed out in previous guides, the residential sector in Europe is also performing better. Around 270 million invested in this segment. Whether they are leases or actual purchases and sales, the result does not change. The increase is considerable, and here, too, there is plenty of room for improvement. It is assumed that this value could improve.
The other sectors are showing a slow recovery. A full analysis is not possible. The motivation is simple. The real estate market is undergoing a strong change. Therefore, it would be impossible to analyze them all. Taking a weighted average, the result is still positive. Plus 128 percentage points compared to 2019. What can I say, a phenomenal result that seems to have erased the sad pandemic period.
In conclusion, a general improvement can be noted for the main segments of the real estate market. However, we know that, like every economic sector, real estate is particularly sensitive to variations. Both in society and in the market in general. To find out more, we advise you, as always, to stay updated on our portal, where you will find all the latest news !
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