Like all other industries, real estate was not immune to the impacts of COVID-19. While deal volume and value declined significantly through the first half of 2020, the industry is re-emerging stronger through the second half of the year and beyond. While certain sub-sectors have struggled with the changes to the economy and new ways of being have emerged, others have exploded with investor activity and interest. Real estate plays a crucial role across all sectors and the role of industry professionals has never been more important.
PwC's Deals Sector Leader John Potter discusses the trends driving deals and outlook for 2021.
PwC's Deals Sector Leader John Potter discusses the trends driving deals and outlook for 2021. Explore national deals trends
Real estate is at the center of changes across markets and geographies. Whether it’s the acceleration of technological change, the need to comply with social distancing regulations, or changes in the way we go about our daily routines, the built environment supports all of our potential use cases. This uniquely positions the real estate industry to be at the heart of changes throughout our world. By embracing the demographic, social, and regulatory shifts, real estate investors have a tremendous opportunity to take the lead in driving change while also earning suitable returns.
Not all sub-sectors will fare equally coming out of COVID-19. This will force the real estate industry to take a deeper look at fundamentals and market demands which will require a new era of innovation. This will attract the best and the brightest who will reimagine the possible and redevelop the built environment in an inclusive image that will be valued by environmental, social, and corporate governance (ESG) investors. As we’ve seen, investor demand is here — here now — and the real estate industry is likely to capitalize on this tremendous opportunity that lies ahead in our recovery.
“Our hypothesis surrounding real estate’s resilience has been proven, and we expect creative deal activity to meaningfully accelerate moving forward.”
Real Estate Deals Leader, PwC US
Real Estate Acquisitions Leader, PwC US
Director, PwC US