(Featuring Stefan Wundrak, Head of Research, Europe, Nuveen Real Estate)

A fast-changing and profitable landscape, industrial real estate, or what is now called “logistics” in Europe has firmly established itself as one of the key sectors on par with office, retail, and residential.

https://www.afire.org/podcast/duckling-or-swan/

The pandemic and subsequent severe recession has caused friction in many parts of the real estate market, especially in retail, hospitality, and office. In contrast, many parts of the industrial market are set to benefit, most obviously, the logistics sector.

With the development of the digital economy, data centers are the next frontier, where a mixture of REITs (mainly in the US) and private market capital (mainly in Europe) are shaping a new distinct asset class with huge growth potential. Data centers must be near their customers, which are consumers as well as businesses.

Stefan Wundrak, Head of Research, Europe, Nuveen Real Estate, talks about how industrial real estate has grown as a sector of its own driven by e-commerce and trends accelerated through COVID-19.