After witnessing the fast recovery of the Spanish real estate market following the pandemic, it is clear that in the last few years, our sector has quickly matured into an attractive and strategic investment destination. Despite these developments, new and persistent issues such as the rise in inflation, the ongoing energy crisis and the conflict in Europe have given rise to much uncertainty regarding the future of real estate. Thankfully, the market has shown its resiliency once again as we head towards a promising record-breaking end of the year.
The investment registered in 2021, fueled in part by great investor appetite, established the foundations for sustained growth in the future. Innovative developments in the sector have helped to diversify and renew the real estate portfolio across the country. This is true particularly in the residential sector were new and alternative investment models such as co-living or Build-to-Rent continue to offer great opportunities for capital ventures. It is important to highlight Madrid, which helms the year as the region with most transactions and the highest registered investment volume. The capital thus far has registered activity across all real estate segments, from core to alternative, further reinforcing the city as an attractive and versatile market within Europe.
The dynamism demonstrated by the Spanish market together with its resiliency during these abrupt times has offered us enough evidence to consider continued growth across the upcoming 12 months. With the first semester almost complete and with numerous portfolios in the pipeline, it is reasonable to expect an annual investment of 14.000-15.000M€.