Coronavirus

The German insurer will remain active in the asset class but will be reevaluating its underwriting and the types of investments it pursues.

The covid-19 pandemic represents uncharted territory for Europe’s commercial property lenders.

‘In the current situation, it’s really tough to underwrite something,’ Rainer Komenda, the €80bn Bavarian pension investor’s head of real estate funds, tells sister title PERE.

Lower-for-longer conditions are driving capital into property markets. But persistently low interest rates are also a concern for real estate investors and lenders.