Global real estate investment accelerates as capital becomes increasingly selective

Global real estate investment continued to build momentum in Q2 2026, with rolling standing‑asset transaction volumes rising 21.2% year‑on‑year, according to Colliers’ Global Capital Flow H1 2026 report.

Luke Dawson, Colliers

Despite persistent geopolitical and macroeconomic uncertainty, activity is now approaching long‑term averages but the nature of the recovery is shifting.

The report highlights that investors are returning to the market with greater selectivity, concentrating capital around sectors and geographies supported by structural demand and long‑term growth prospects rather than pursuing broad‑based exposure. EMEA remains the world’s largest destination for cross‑border real estate capital, accounting for 57% of flows across major markets. Fundraising allocations targeting Europe have also increased from 16% to 21%, signalling rising conviction in specific European opportunities.

“Investors are becoming increasingly selective in their capital allocation decisions. The recovery is no longer defined by a broad market rebound but by conviction around sectors and markets with stronger structural demand, operational resilience and long‑term growth potential. Europe continues to benefit from that shift,” said Luke Dawson, Head of Global & EMEA Capital Markets.

Data centres illustrate this trend most clearly. Global investment in the sector almost doubled during Q2, with EMEA volumes surging from US$3 billion (€2.6bn) to US$10 billion (€8.6bn), overtaking senior living. Multifamily remains the largest global sector, industrial continues to attract strong fundraising momentum, and office, retail and hospitality all retain meaningful investor interest.

Fundraising patterns point to continued deployment ahead, including a sharp rebound in opportunistic strategies. While stable interest‑rate expectations should support activity, Colliers expects selective capital allocation rather than broad market momentum to remain the defining feature of global real estate investment through the remainder of 2026.