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Global capital is finally moving again and it’s moving with intention.

After two years of sitting on the sidelines, sovereign wealth funds, private equity groups, and pension giants are repositioning for the next cycle.

But they’re not returning to the same assets, the same markets, or the same structures as before.

Here’s the 2025 money map: who’s buying, what they want, and where capital is flowing now.

U.S. Industrial Leads Global Allocation Plans

International investors are quietly increasing exposure to U.S. logistics.

Why? Because pricing has softened just enough to re-open deals that were impossible in 2022–2023.

Key drivers:

• Normalizing cap rates creating real entry points

• E-commerce volume now back on a multi-year growth path

• Nearshoring driving new supply chain hubs

• Strong tenant retention across Class A industrial

Top targets: Dallas, Houston, Savannah, Phoenix, Inland Empire (selectively).

Europe’s Office Reset Is Attracting Deep-Value Capital

Office values in major EU markets have corrected 20–45%, and global capital sees this as a rare repositioning window.

Most active strategies:

• Converting outdated offices into hybrid-ready workspaces

• Sustainability-focused redevelopments

• Distressed acquisition + capex repositioning

• Partial conversions to mixed-use

Where the money is heading: London, Paris, Madrid, Berlin.

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Middle Eastern Sovereign Funds Expand Their U.S. Strategy

Gulf capital is on track for its largest outbound CRE year since 2019.

Primary targets:

• Class A & B multifamily in the Sun Belt

• Medical office

• Student housing

• Infrastructure-linked real estate (data centers, logistics, energy-adjacent assets)

The strategy: long-term income + strong demographics.

Asia-Pacific Investors Hunt for “Yield Gaps” in Secondary U.S. Cities

Singaporean, Japanese, and Korean capital are shifting away from gateway markets and toward high-growth mid-size cities.

Most attractive asset classes:

• Value-add multifamily

• Grocery-anchored retail

• Mixed-use redevelopment opportunities

Cities on their radar: Charlotte, Tampa, Indianapolis, Raleigh, Phoenix.

The Biggest Structural Shift: Direct Co-Investments

Instead of blind-pool funds, cross-border groups are moving toward deal-by-deal partnerships with local operators.

Why this model is exploding:

• Better fee efficiency

• Improved alignment

• Faster deployment in distressed situations

• Higher conviction in asset selection

Expect co-investments to dominate 2025–2027 global deal structures.

MARKET SNAPSHOT — GLOBAL QUICK HITS

• Japan’s intervention has increased capital availability for outbound CRE.

• Private credit is now the primary financing source for cross-border deals.

• U.S. retail transaction volume is quietly at its highest level since 2021.

• European debt funds are raising aggressively to target distressed markets.

Money tells you where the market is heading long before the headlines do.

Right now, global capital is positioning for a multi-year real estate opportunity—quietly, strategically, and fast.

We’ll keep tracking every move.

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See you next week.