Despite the negative impact of the conflict in Iran, which has triggered rising commodity prices and a temporary deterioration in economic sentiment, capital markets are showing increasing resilience to external shocks. Analysts note that investors are adapting to work in a volatile environment by focusing on asset fundamentals. This makes it possible to offset short-term shocks similar to those observed last year after the introduction of tariffs by the Trump administration.
The drivers of growth in 2026 are different regions. It is expected that the Asia-Pacific region will become the leader, where activity is fueled by the revival in the markets of Singapore and China. In Europe, a moderate recovery is forecast for the current year, accelerating in 2027, with activity now shifting to peripheral markets, including Southern Europe, while core markets will return to focus next year.
The recovery is becoming more widespread, encompassing both traditional and alternative sectors. Transactions with unique assets and large mergers and acquisitions demonstrate high activity. There is a particular interest in sectors such as data centers, housing for the elderly, and self-service warehouses. At the same time, the "old economy" market has also revived significantly: office and retail real estate are experiencing a cyclical recovery due to limited new supply and stabilization of demand from tenants.
Source: Savills World Research
