Exciting Insights and New Findings from the Construction and Real Estate Industry on the 3rd day of Expo Real 2024
We would like to extend our heartfelt thanks to Ingo Glaeser, Münchner Hypothekenbank eG and the organizers of the 3rd IU Conference on Construction, BPM & Real Estate, especially Prof. Dr. Florian Spitra (IU Internationale Hochschule), for the excellent organization and hospitality. The event offered a wealth of exciting presentations and valuable insights into current developments in the construction and real estate sectors.
A special thanks to Dr. Sebastian Marek from Strategy&, PwC, with whom Prof. Dr. Gunnar Gombert presented the joint talk on "Conditions and their Impact on Investors & Financiers in the Real Estate Industry." It was a pleasure to share our knowledge and experiences together.
Key Takeaways from our presentation for CRE Investors and Financiers:
60% of investors are already seeing a bottoming out, but the market environment remains challenging in the mid-term.
Business plans are often no longer viable, while financing options are scarce.
Impairments and volatility are calling many business models into question, making new products more in demand than ever.
For CRE financiers, this means increased default rates, worsened collateral security, and growing regulatory pressure.
At the same time, financing gaps are emerging in certain regions and risk classes, while competition for low-risk business is intensifying.
69% of CRE loans in EU CMBS do not meet refinancing requirements from lenders.
Growth in CRE portfolios of German financiers is slowing down, while NPL volumes and risks in portfolios are rising.
Four Success Factors for "Fit for Growth":
Capital: Securing liquidity and capital in the current environment is essential – financiers are often in a "wait and see" mode.
Risk Management: Without solid risk management strategies, CRE investors are particularly vulnerable during market downturns.
Profitability: Customer focus, cost control, and sales have become key focus areas since the interest rate hikes.
Organization: New skills are in demand as structures change and personnel strategies are adjusted.
We look forward to the next event and further exchanges with our industry colleagues. The 4th IU Conference on Construction, BPM & Real Estate will again take place on the third day of ExpoReal, on Wednesday, October 8, 2025.