The largest real estate managers in North America, Europe and the Asia-Pacific region are getting bigger, with the top 10 managers all the regions accounting for 41% of the total €2 trillion ($2.2 trillion) in assets under management as of Dec. 31 and one in five managers indicating they have been involved in a merger or acquisition over the last 10 years, said the INREV/ANREV/National Council of Real Estate Investment Fiduciaries Fund Manager Survey 2016.
The top 10 managers’ share is up from 36.5% in 2014.
“Industry consolidation continues apace, and there is nothing to suggest there will be a slowdown in M&A activity in the near future. Whatever the ‘optimum’ size for a fund manager might be, we clearly haven’t reached that point yet,” said Henri Vuong, INREV’s director of research and market information, in a statement.
Total real estate fund assets under management for all survey respondents was up 11.3% from €1.8 trillion at the end of 2014.
The average AUM for the four largest managers — Brookfield Asset Management, Blackstone Group, TIAA-CREF and CBRE Global Investors — was about €100 billion.
Some 154 fund managers globally completed the survey.
INREV is the European Association for Investors in Non-Listed Real Estate Vehicles. ANREV is the Asian Association for Investors in Non-Listed Real Estate Vehicles.
