Catella House view 2026

Established international markets combining economic scale, global connectivity and deep labour markets. Their liquidity and resilience support long-term capital preservation, although high entry prices can constrain future returns. Relevant strategies include central business district offices, rental housing, hotels and last-mile logistics.

Large, diversified urban economies offering relative value compared with Europe’s gateway markets. Lower entry prices can combine with conditions that support long-term rental income growth. Opportunities include affordable housing, regional logistics and central business district offices, while investment timing and the risk of oversupply require careful assessment.

Knowledge economies shaped by universities, research and highly skilled workforces. These strengths support demand for student accommodation, operational living, life sciences and flexible workspace. Smaller markets and a narrower investor base can mean lower liquidity, making entry pricing an important consideration.

Cities benefiting from economic convergence, technology investment and demographic growth. These changes create opportunities in affordable housing, retail parks, serviced apartments and hotels. The potential for rental growth and value creation comes with higher risks than in more established markets.

Cities supported by productive local economies and specialised industries. Investment performance depends on asset selection, local supply conditions and active management more than broad market momentum. Income-oriented residential and operational real estate can offer opportunities for investors with strong local knowledge.

Cities facing more pronounced demographic, economic or competitiveness challenges. Investment opportunities depend on active asset management, redevelopment and repositioning rather than broad market growth. Relevant strategies include office-to-residential conversions and urban regeneration projects where individual assets offer potential for change.