According to the latest Active Capital research by Knight Frank, total investments in commercial real estate are estimated to reach €132 billion, with office properties once again emerging as the most attractive asset class.
The research is based on the views of 119 of the world’s largest real estate investors, who collectively manage assets exceeding €1.29 trillion. Declining interest rates, increasing confidence in future demand for workspace, and the stabilization of hybrid working models are driving a reallocation of capital toward office assets, particularly high-quality properties.
Offices rank as the top investment choice for 69% of investors, signaling a clear resurgence of interest in the sector. Investors are primarily focusing on modern, well-located, and ESG-compliant buildings that can meet the evolving needs of businesses and employees. In contrast, older and energy-inefficient office buildings are increasingly viewed as being at risk of long-term obsolescence.
The return of Core investment strategies is particularly pronounced in the office sector, as falling interest rates make the stable income generated by high-quality office assets more attractive compared to alternative fixed-income investments. Overall, approximately €34 billion in planned investments is being directed toward Core strategies, a significant portion of which αφορά office properties in mature markets.
From a geographical perspective, the United Kingdom and Germany stand out as the leading destinations for office investments, attracting the strongest interest from international capital. Investor decisions are primarily influenced by interest rates, occupier demand, and bond yields, while geopolitical uncertainty is acknowledged as a risk factor but is not currently deterring investment plans.
Overall, 2026 is expected to mark a year of recovery for the office market, with investment interest focusing on quality, sustainability, and the long-term resilience of assets.
