Disruption and conviction: Insights into value investing in Europe

Value investing in European real estate today is characterised by an abundance of unmeasurable uncertainty over quantifiable risk. Successfully navigating that uncertainty requires the intersection of expertise and experience.

Beyond the current turmoil however, we believe four themes will define the Europe of the near future – Europeans will be smarter, greener, older and more mobile.

Periods of dislocation, while testing for investors’ convictions, can also offer opportunity. Uncertainty can result in attractive entry pricing as markets become over-correlated. As a result, fund vintages raised during challenging markets, which are able to take advantage of this repricing, have outperformed in recent cycles.

Where short-term dislocation overlaps with our long-term convictions, we believe lasting value can be created.