OUTLOOK 2024: “Work Even Harder To Understand The Customer”

The real estate markets have been shaken. The challenges deriving from a new interest rate environment are continuing to determinate investor behaviour. In order to start the transaction market engine again buyer and seller expectations will need to converge as will those of financing partners in the industry.

After a decade of unprecedented cheap money in the real estate industry and an almost continuous upward trend, the next phase of the investment cycle is underway. It’s time for first movers in the opportunistic and value-add segment. Especially after several hard pandemic years for retail, the asset class is back on track, with many opportunities, particularly with regard to revitalization. Many assets are just waiting for a new future-proof concept.

Also, ESG and digitalization are here to stay and will have a continuous and long-term impact on how retail real estate is operated. Customer behaviour will also keep evolving. Experience and fulfilling simple basic shopping needs will still play a role in the hunt for customers. But the real opportunity for the placemaking industry is to work even harder to understand customer perception.

Angelus Bernreuther

Angelus Bernreuther is Head of Investor Relationship Management at Kaufland, and Member of the ACROSS Advisory Board.