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Logistic Real Estate Investment and REITs in Europe pp 49–62Cite as

Palgrave Macmillan

The Role of Logistic Real Estate in a Diversification Strategy

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Abstract

Inter-sector diversification in real estate is useful when different segments of the industry show performances that are not strictly correlated. Logistic real estate shows significant differences in the income return and the capital growth that may justify the inclusion of this asset class in a portfolio diversification strategy. The chapter studies the performance of income and capital gain in the logistic sector for the European countries and evaluates the advantages related to the inclusion of this asset type in a portfolio of real estate assets. The analysis is performed by considering country biased and international diversified strategies and for both types of portfolios logistics matters for the optimal diversification strategy.

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Notes

  1. 1.

    For the geographical area classification, the approach used by Cushman and Wakefield is the following:

    Western Europe: Luxembourg, Portugal, Greece, Finland, Ireland, Denmark, Austria, Norway, Belgium, Sweden, Switzerland, Netherlands, Spain, Italy, UK, France, Germany.

    Eastern Europe: Macedonia, Cyprus, Estonia, Latvia, Serbia, Lithuania, Slovenia, Bulgaria, Croatia, Slovakia, Hungary, Ukraine, Romania, Czech Republic, Poland, Turkey, Russia.

    Central Europe: Slovakia, Hungary, Czech Republic, Poland.

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Author information

Authors and Affiliations

  1. Department of Management and Law, University of Rome Tor Vergata, Rome, Italy

    Gianluca Mattarocci

  2. Real Estate Development Department, Istanbul Technical University, Taksim-İstanbul, Turkey

    Dilek Pekdemir

Authors
  1. Gianluca Mattarocci
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  2. Dilek Pekdemir
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Correspondence to Gianluca Mattarocci .

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Mattarocci, G., Pekdemir, D. (2017). The Role of Logistic Real Estate in a Diversification Strategy. In: Logistic Real Estate Investment and REITs in Europe. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-319-69206-7_4

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  • DOI: https://doi.org/10.1007/978-3-319-69206-7_4

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  • Publisher Name: Palgrave Macmillan, Cham

  • Print ISBN: 978-3-319-69205-0

  • Online ISBN: 978-3-319-69206-7

  • eBook Packages: Economics and FinanceEconomics and Finance (R0)

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