EMEA dominates global real estate capital flows

According to Colliers' latest Global Capital Flows (H1-2025) report, the EMEA region is currently dominating global cross-border real estate investment.

Luke Dawson and Damian Harrington

International capital is increasingly concentrating in larger, more liquid markets, with EMEA accounting for six of the world's top ten destination markets.

Over the past year, the UK was the top global destination for cross-border investment in existing assets, capturing 16.1% of international real estate capital. Germany, France, Spain, Sweden, and Italy also made the global top ten, demonstrating EMEA's strong appeal during periods of geopolitical and macroeconomic uncertainty.

Global investment in existing assets saw a 15% year-on-year increase in Q1 2026. While EMEA's growth was more moderate, activity was concentrated in larger, liquid markets, solidifying the region's position as a core long-term investment rather than a short-term play.

Sector-wise, EMEA shows a balanced investment profile, though structural shifts are becoming more evident. Senior living emerged as a key trend in early 2026, sharply increasing its share of regional investment activity to 11% in Q1, up from a previous 4%.

EMEA is also an increasing source of outbound investment. France has risen in the global rankings as a major exporter of cross-border capital, and both Sweden and Norway are now among the top ten global capital sources, indicating a growing international focus among European institutional investors.

Despite changing interest rate expectations, yield spreads in EMEA remain favourable compared to the cost of capital, following a broad repricing since late 2022. This continues to support transaction activity in markets and sectors with proven income stability.

Luke Dawson, head of Global and EMEA Capital Markets at Colliers, commented: “EMEA continues to stand out on those fundamentals. Europe consistently captures a disproportionate share of cross-border capital: pricing has adjusted in recent years to offer strong income growth potential, and investors can deploy capital across a wide range of established markets and asset classes. As investors recalibrate portfolios in a more uncertain environment, capital is becoming more disciplined rather than retreating. For EMEA, that discipline continues to translate into sustained cross‑border investment and a deep pool of global capital targeting scale and long‑term conviction.”

Damian Harrington, head of Research, Global Capital Markets and EMEA at Colliers, added:  “What the data clearly shows is that Europe’s appeal lies in breadth rather than concentration. Alongside core sectors such as office and industrial, investor conviction is building in more specialised, operational asset classes such as senior living.”