Sector Investment 3 Days

Last updated: April 17, 2026, 11:30 PM ET

Real Estate Fundraising Slowdown & Strategy Shifts

Overall fundraising volume in the private real estate sector plunged 50% year-on-year during the first quarter of 2026, reflecting a broader retraction from large institutional capital, yet mid-tier managers showed surprising efficiency, with many funds closing faster and exceeding their capital targets. This market shift is accentuated by the temporary absence of megamanagers like Blackstone and Brookfield, allowing smaller, emerging funds to capture market share quickly. In response to evolving mandates, CBRE Investment Management created a new executive role to aggressively pursue growth within European value-add strategies, aiming to raise capital for its Europe Value Partners series for the first time since 2018 under the leadership of former Hines executive Paul White.

Infrastructure Investment & Geopolitical Risk

Fundraising for unlisted, closed-end infrastructure vehicles returned to earth in Q1, securing only $26.4 billion, marking the second-lowest opening quarter in the last six years, though managers anticipate a rebound as several large-cap funds are slated to close later in the year. Despite the expected capital inflow, some seasoned investors remain wary; I Squared founder Sadek Wahba expressed caution regarding the AI infrastructure boom, specifically citing market underestimation of escalating risks stemming from the ongoing Iran conflict. Furthermore, the industry is consolidating its research capabilities, as evidenced by the acquisition of Scientific Infra & Private Assets which will deepen quantitative insights across PEI and [*Infrastructure Investorpublications.