Real estate investment - no end to growth in sight
The real estate asset class has gained considerable importance in global asset management. From the perspective of international investors, Germany in particular appears to be a safe haven. The real estate industry is on a sustainable growth path, particularly with: Low interest rates, migration and urbanisation, moderate construction activity, technological change. This combination presents unprecedented, excellent conditions for growth.
New record transaction volumes have recently been reported every year. The refinancing structures have evolved. The real estate share is well-established. The industry is firmly anchored in the DAX, MDAX and SDAX. In the debt capital sector, corporate bonds and convertible bonds are competing with traditional bank financing.
Markets and ownership structures have also changed. Just a few years ago, banks owned large real estate portfolios, which were sold after the financial market crisis. Municipalities, even the federal government, restructured themselves by selling real estate. Capital market-driven business entities with global investors in the background were buyers and professionalised value chains to create high-yielding business models.
Today, the industry is concerned with new construction, energy-efficient renovation and digitalisation: In the banking sector, we are familiar with fintechs. In the real estate sector, “proptechs” represent the transformation of the industry. In a few years, “proptechs” will be a core pillar of the real estate industry, with the clear understanding that the concrete is not the asset, but rather the user of the property.
KPMG AG Wirtschaftsprüfungsgesellschaft
The professionalisation of the entire real estate value chain goes hand in hand with transparency in corporate communication and stability in processes
Transparency builds trust. Successful real estate companies have invested in their internal processes that enable precisely this transparency: stable management control processes with meaningful key figures, secure processes for external corporate reporting (HGB, IFRS, etc.) and forward-looking sustainability reporting.
KPMG SPECIALISTS in auditing, accounting and accounting-related consulting, and governance of real estate firms
Our team has many years of experience in auditing and advising real estate companies. Based on our market share in auditing real estate companies, we consistently develop our audit and advisory approach. The possibilities of digitalisation today offer a wide range of evaluation options – security and confidence for your business model. Your KPMG specialists are excellent industry experts who operate on a broad network, both nationally and internationally.