Real estate investment across Europe reached €53 billion in the first quarter of 2026, showing a modest 3% increase year-on-year, according to figures released by CBRE Group, Inc..
The United Kingdom recorded the highest level of activity during the quarter, with €11.7 billion in investments, followed by Germany at €8.6 billion. Some markets delivered significant annual growth, particularly Spain, where volumes jumped to €6.3 billion, and Belgium, which rose to €2.6 billion, largely driven by healthcare transactions.
Elsewhere, both the Netherlands and Germany posted notable increases in investment activity, reflecting continued momentum across key European markets.
In terms of sectors, residential-focused assets led the market, accounting for 26% of total investment at €13.5 billion. The segment continues to attract strong interest as investors prioritize stable demand and long-term returns.
Office properties accounted for €10.7 billion, representing one-fifth of total volumes and showing a slight improvement compared to the previous year. Retail and industrial & logistics sectors followed, with €7.8 billion and €7.3 billion respectively.
Healthcare real estate emerged as a standout performer, with investment volumes rising sharply by 150% to €4.5 billion, highlighting growing demand for defensive asset classes.
While geopolitical uncertainty and interest rate shifts continue to influence market conditions, overall investment activity has remained relatively stable. Investors are increasingly focusing on diversification strategies, favoring sectors such as residential and healthcare, while gradually regaining confidence in the office market.
The latest data indicates that Europe’s real estate sector is maintaining stability in 2026, despite broader economic challenges.
