Altus Group enhances valuation offer with new Pan-European dataset

In developing the dataset, Altus Group has brought together its market leading technology, its expertise in valuations, data science and analytics, and its relationships with Europe’s most influential real estate funds to gather a critical mass of property data from across the continent. At present, this asset-level dataset is primarily based on Pan-European open-ended diversified core funds but is rapidly expanding to other open-ended strategies (geographic, sector etc.) collectively representing over €40 billion in assets under management.

"As an independent provider of valuation management solutions, Altus Group is ideally positioned to partner with the CRE industry to drive valuation transparency,” said Julien Sporgitas, EMEA Valuation Leader at Altus Group. “The Pan-European valuation dataset raises the bar for real estate analytics in Europe, bringing new insights on the drivers of commercial property valuations. As the dataset scales it will evolve with greater capabilities to help our clients make data-informed asset management and investment decisions.”

Until now, commercial real estate valuation data in Europe has been largely fragmented, existing within different organisations and countries, in different formats, languages and levels of coverage. Current European market indices provide top level valuations trends, but not the factors underpinning those changes. Altus Group’s Pan-European valuation dataset creates a centralised, standardized valuation dataset offering granular insight into why property values are changing.

Similar to Altus Group’s analytics capabilities in the U.S., European users can drill down by sector and/or geography to analyze how certain factors such as yields, contract rents, market rents, occupancy levels, operating costs, capital expenses, cash-flow, or lease terms impact valuation trends. The first phase includes coverage of core and core+ funds, with the second phase underway expanding coverage with pension funds, domestic funds and other closed-end funds. This level of enhanced valuation transparency helps CRE professionals better understand whether valuations are changing due to capital market factors and/or cash-flow fundamentals, leaving them better positioned to navigate changing market conditions and prepare for the future.

Altus Group’s latest insights on market valuation trends are available by accessing:

• US webinar: Q4 2023 NCREIF ODCE Index performance analysis (Feb. 8, 2024)

• European insights article: Q4 2023 Pan-European open-ended core funds’ valuation analysis (published today, February 21, 2024)