Savills IM 2022 transaction volume totals €3.9bn across real estate equity and debt platforms

Alex Jeffrey, Global Chief Executive, Savills IM, commented:

“The macro environment in 2022 was dominated by global economic and geopolitical developments, with a prevailing risk-off sentiment among investors putting pressure on capital values and occupier performance. Against this backdrop, I am encouraged to see our network of on-the-ground experts across 17 locations continuing to secure high quality and attractive opportunities for our clients. Despite a challenging year, bright spots have emerged in sectors such as living and real estate debt, and an increasing focus on ESG credentials provides opportunities for those investors able to maintain quality across portfolios. Our achievements as a firm in 2022 showcase our expertise and experience across a range of sectors and regions, and I believe we are positioned well to weather the global headwinds affecting all investors and continue to perform strongly in 2023 and beyond.

Dale Lattanzio, Managing Partner, DRC Savills IM, commented: 

“DRC Savills IM continues to be one of the few lenders in the market with a lengthy track record in originating loans across both the UK and the European continent. Although the macroeconomic backdrop led to the lending community adopting a more cautious approach in 2022, the resultant constrained supply will provide opportunities for non-bank specialists to step in and fill the gap left by traditional lenders. We remain ready to deploy capital and fulfil the strong deal pipeline we anticipate in the year ahead.”

Kiran Patel, Global CIO and Deputy Global CEO, Savills IM, commented: 

“Despite a year filled with uncertainty, we have been proactive in selling many assets, 49 in total throughout the year.  As in the previous year, 2022 was another year to bank profits and to hold equity as the repricing emerges. Currently we have over €1.2bn of investment purchasing power. Although headwinds remain, like inflationary pressures and elevated levels of interest rates which continue to impact real estate markets across all regions, we are confident in seeing opportunities as commercial real estate continues to re-price. We expect industrial & logistics to show resilience as competition for land intensifies particularly around urban centres, residential strategies in the purpose-built student accommodation and affordable living areas which continue to be supply constrained, and real estate debt to continue offering attractive risk-adjusted returns for those lenders able to identify resilient lending opportunities. 2023 towards the second half of the year could offer itself as the beginning of an attractive entry point for the next cycle.”