“The benefits of diversification is a primary reason why one would want to invest overseas,” explains Breheny. European and Asia Pacific markets are very complementary to the U.S. in terms of market cycle and capturing growth, she noted. Rather than just sticking to regional targets, Breheny zeros in on cities that “will be resilient through market cycles and will remain relevant in tomorrow’s world.” Some “winning cities” include Austin, TX, Berlin and Beijing.
Breheny cites urbanization as a huge factor in driving these cities to the top of the list. While 70% of the population is predicted to live in cities by 2030, “occupiers are becoming increasingly discerning,” Breheny qualifies. Technology is another big trend impacting real estate demand and driving consumer choice.
TH Real Estate, a Nuveen company, has real estate investments in over 17 countries and manages $115 billion in assets under management.