realestate

Real Estate Market Forecast 2025: A Year of Expansion Ahead

Investors expected to regain confidence from 2025, with clearer capital costs and pricing.

I
nvesting in real estate involves various risks that can impact the value and income generated by the investment. These risks include fluctuations in property values, market volatility, liquidity issues, leverage, credit risks, occupancy risks, and legal challenges. As a result, investors may face declines in property value, reduced rental income, or even total loss of invested capital.

    Data center properties are particularly vulnerable to vacancy risks due to their specialized nature, making it difficult to re-let or repurpose the space if needed. This limited adaptability can lead to lower liquidation values compared to more versatile properties.

    This document provides general information and is not tailored to individual investors' needs or circumstances. It should not be relied upon as specific investment advice or a guarantee of future performance. The opinions expressed are subject to change without notice, and the accuracy of the information presented cannot be guaranteed.

    The following statements apply:

    * This material may contain forward-looking information that is not purely historical in nature.

    * Reliance on this information is at the reader's sole discretion.

    * Distribution or use of this document in certain jurisdictions or countries may be prohibited by local law or regulation.

    Principal Global Investors, LLC issues this document in the United States and is regulated by the U.S. Securities and Exchange Commission. In Europe, it is issued by Principal Global Investors (Ireland) Limited and regulated by the Central Bank of Ireland. The document is directed exclusively at Professional Clients and Eligible Counterparties in Europe.

    Principal Asset Management is a global investment management business for Principal Financial Group and includes various asset management operations. Marketing assets under management include certain assets managed by Principal International and Retirement and Income Solutions divisions of Principal.

Real estate market forecast image with graphs and maps highlighting global expansion.