More discussion needed over return expectations

With LPs increasingly seeking safety amid quality, core real estate assets, Falcon Real Estate president Jack Miller said it’s essential for all sides to have an honest debate about the type of returns they can realistically expect from real estate in the coming years.

Private equity real estate LPs and GPs should have an honest discussion about the type of returns they expect from their property investments following months of write-downs, according to Falcon Real Estate president Jack Miller.

Speaking to PERE, Miller said many investors were seeking safety in their portfolios with quality, core assets in key cities around the globe – but many were still hoping for opportunistic-type returns to help offset heavy losses of the past six months.