Real Estate
Europe’s Office Dealmaking Hits Record Low on Remote Work, ESG Concerns
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The number of deals to buy office buildings in Europe hit the lowest on record in 2024 as investors fled the sector, deterred by the risks of increased home-working and the cost of upgrading buildings to meet tenant demands for modern environmental standards.
The sector accounted for just 22% of the roughly €189 billion ($197 billion) of commercial real estate investment in Europe last year, almost half the proportion it accounted for in 2019 before the Covid-19 pandemic hit, according to data compiled by MSCI Inc.