DWS real estate chief Clemens Schäfer: The mood is "close to the lows of 2022 and 2023"
DWS real estate expert Clemens Schäfer talks about the challenges of open-ended real estate funds, the financing problems of the industry and the divided office market.
DWS, a German investment company, has announced further property sales from three of its large open-ended real estate funds due to investor withdrawals. The company's head, Herr Schäfer, attributes this to a challenging market environment, citing rising interest rates and inflation concerns triggered by the Iran conflict and attacks on Saudi Arabia's pipeline.
Schäfer notes that while rental markets remain robust, the investment market is experiencing difficulties, with a potential decline in property valuations if interest rates remain high. The company is preparing to activate liquidity management tools, including partial redemption of shares, but rules out suspending redemptions or imposing a penalty on withdrawals.
Written by urgent.news from Handelsblatt's report — not a translation of it. Machine-written — may contain errors; check the original before relying on it.
