The Berlin investment house RHE Grundbesitz has presented a positive interim report for the financial year 2026. Despite ongoing challenges in the market and financing environment, real estate transactions with a total volume of around EUR 150 million have been successfully completed so far this year. The company has a filled pipeline for the second half of the year and is currently managing exclusive sales mandates with a total volume of just under EUR 70 million. In addition, there are further ongoing acquisition and sales processes, which underscore the company's market activity.
Delano Kyles, Managing Partner at RHE Grundbesitz, emphasised that transactions are possible even in a challenging market environment. The key is to align the expectations of sellers and buyers and to identify the appropriate capital partner for an investment. This statement reflects the necessity of precise market knowledge and mediation expertise in the current market situation.
According to RHE's observations, investors with strong equity positions are particularly willing to transact. Primarily, family offices and private portfolio holders are pursuing targeted strategies to further develop their real estate portfolios. Their focus is on selective acquisitions to round off and expand existing holdings in strategically relevant locations. In particular, investments that demonstrate stable long-term cash flows and additional value appreciation or development potential are in demand. The high equity capitalisation of these buyers enables them to operate largely independently of banks and to implement transactions relatively quickly, even in a selective financing environment.
Mr Kyles explained that while capital is available, it is being deployed much more selectively than in earlier market phases. A plausible business case, robust cash flows, and a clear perspective for long-term value development are crucial today. Equity-strong family offices, in particular, are utilising the current market environment to expand their portfolios in selected locations. In parallel, RHE is noting growing interest from international investors in the German real estate market, with local operational partnerships gaining importance. International capital partners are increasingly seeking collaboration with experienced local players to identify investment opportunities, create market access, and operationally support transactions.
- —Identification of suitable investment opportunities.
- —Creation of market access for international players.
- —Operational support for transactions.
RHE assesses the combination of international equity capital and local market and transaction expertise as providing additional potential for the coming months. Mr Kyles stated that discussions are increasingly taking place with international investors who fundamentally wish to invest in Germany but are looking for an experienced local partner. Significant potential is seen at this interface between capital, local market access, and concrete transaction implementation.
Residential real estate remains the most sought-after asset class. Berlin features prominently in the search profiles of numerous investors. Although the regulatory environment is challenging, the capital city continues to be one of Germany's most attractive real estate markets from RHE's perspective due to its long-term fundamental conditions. High demand for housing meets a limited supply of new builds, which supports the long-term development of the housing market. Long-term oriented portfolio holders and family offices therefore continue to actively seek residential investments in Berlin.
With a realised transaction volume of approximately EUR 150 million to date, further exclusive mandates totalling just under EUR 70 million, and additional ongoing acquisition and sales processes, RHE Grundbesitz looks confidently to the remaining months of the year. Mr Kyles anticipates an active year-end business. Investors and capital are available, but quality, speed, and realistic pricing will determine the actual success of a transaction.
