Performance of European real estate assets remains positive in 2025

The INREV European annual Asset Level Index recorded a total return of 6.17% in 2025.

• The total return of 6.17% in 2025 is a 116 bps increase from 2024. The latest results are also higher than its 3- year (2.20%) and 5-year (3.36%) annualised total returns. At 1.92%, capital growth drove the performance increase. Income return decreased from 4.28% in 2024 to 4.17% in 2025.

• Residential assets delivered the strongest sector return, at 8.15% in 2025. Retail followed closely, with returns reaching 7.84%. Notably, retail capital growth turned positive for the first time in eight years. Industrial/logistics delivered returns of 6.57%, while the office sector returned to positive territory in 2025, at 2.60%.
• Dutch assets were the best performing out of the main four countries, bringing a total return of 8.63% in 2025. The UK followed with 6.44% total return. French assets brought a positive performance at 4.63% with capital growth in positive territory (0.53%). German assets returned 1.91% this year, outperforming both their three- and five-year annualised returns.

INREV is calling for members to join this important initiative. If you would like to schedule a demo of the Asset Level Index Analysis tool or have questions about this index, contact Jeanne Besner or visit the Asset Level Index page.