Look ahead to 2024: Real estate must be low-carbon to survive

As the biggest fire in European history raged through Greek forests in August 2023, 10-year interest rates in the eurozone soared to around 3.25 percent, a level not seen since 2011, and climbed to 3.5 percent in October 2023 percent. The end of "free money" meant the end of the sometimes excessive financial support of real estate, as buildings in Excel models were reduced to mere cash flows and shortfalls were erased by constant reductions in cap rates. The lesson from this crisis is that a building, before being an investment product, derives its value from its inhabitants. The building should be useful, efficient, comfortable, desirable and accessible for the residents and consequently also for the investors. (Laurence Desmazieres from ICAWOOD)