More Employment Growth to Come
The current cycle continues to be driven by employment rather than productivity, while the stable outlook for global GDP growth points to another year of steady real estate returns.
Low Supply Environment Persists
The ongoing low supply environment continues to support prospects for rental growth, enhanced by a strong link with employment growth in the current cycle.
Further Scope for Yield Compression
Past interest rate increases have been weighing on real estate pricing, but the shift toward looser monetary policy paves the way for further yield compression in 2020.
Cross-Border Flows Weakening
Cross-border investment flows are weakening in the Americas and Europe, reflecting a wider slowdown in trade liberalization. Asia Pacific is bucking the trend.