The globalisation and broadening appeal of real estate investing continues to gain pace. The adoption of Real Estate Investment Trusts (REITs) or REIT-like structures in over 30 markets has made it easier for those without the scale for direct investing to participate.
According to Rean, "Twenty years ago, real estate investing was still a very local endeavor. Now capital flows emanate from all over the world to cross into assets located in all global regions."
Over the years, the make-up of MIPIM's delegates has changed to reflect this investment trend. Visitors from 89 countries will be attending the conference with participant numbers from the U.S. and Asia continuing to rise. While the bulk of 4,800 investors attending are from private equity players or specialist units within larger funds, the conference is now also attracting more institutional investors such as pension funds and sovereign wealth funds, according to MPIM.
However, the industry still has to contend with market volatility and asset class illiquidity, weak bank lending and tightening regulatory standards. Developers will be hoping that this week's other backdrop – of Cannes' glamorous croisette and shimmering Mediterranean waters – will help keep sentiment bright.