Article navigation
Purpose

The article examines the evolution from 2001 to 2024 of the size and composition of commercial real estate investment markets by region and sector, focusing first on global figures and then on trends in Europe, Asia–Pacific and North America.

Design/methodology/approach

We analyze the size of commercial real estate investment markets over time and compare it with the market capitalization of stocks and bonds. We then focus on changes in composition by region and sector, including analyses for Europe, Asia–Pacific, and North America, and critically compare estimates from various data sources.

Findings

Having trebled in size from 2001 to 2024, the global real estate market reached USD 12.4 trillion as of the end of 2024, with the US market accounting for 39% of that figure. Over this period, the importance of office and retail sectors has declined, while residential and industrial investments have grown, and alternative sectors have expanded substantially. The European market totals USD 3.9 trillion, dominated by the United Kingdom, Germany and France (57% of the regional market). In Asia–Pacific, China, Japan, Hong Kong and Australia lead the region, with China now the second-largest market globally.

Originality/value

This article provides for a better understanding of the size and composition of commercial real estate investment markets, which is important for investors seeking exposure to the asset class. Among other things, we compare the size of real estate markets with that of stocks and bonds and offer insights on possible future changes.

Licensed re-use rights only
You do not currently have access to this content.
Don't already have an account? Register

Purchased this content as a guest? Enter your email address to restore access.

Pay-Per-View Access
$39.00
Rental

or Create an Account

Close Modal
Close Modal