Real Estate Outlook: De-risking amid uncertainty

Private real estate finished the second quarter of 2022 with record-setting NFI-ODCE total annual returns at 29.5%. Robust second quarter returns did not fully capture the most recent activity of re-trades and value declines that are now pervasive in bidding pools. Transaction volume increased by 17% YoY, but examining the underlying data shows a decline in volume among deals sized below USD 50 million.