The market for real estate investment companies (SCPI) is subject to investor mistrust. These unlisted real estate funds saw their payments fall by 25% in 2023 to reach 7.7 billion euros. The French Association of Real Estate Investment Companies (Aspim), however, underlines that this level “marks a return to the 2018-2020 average after an exceptional year 2022”. The big winners of the past year have been diversified SCPIs, to the detriment of vehicles focused on offices.
If the first two quarters maintained good momentum, the share price corrections that have taken place since the summer have caused flows to falter. As a result, repurchase requests have multiplied for certain products, leading to market tension. Aspim estimates that in the last quarter of the year alone, “SCPIs recorded a significant volume of redemption orders, totaling 1.3 billion euros”.
However, many management companies are not able to honor them. Thus, at the end of December, 2.1 million euros of withdrawal requests were pending, or 3.3% of the market capitalization. 99 SCPIs are concerned out of a total of 216, including Patrimmo Commerce (Primonial REIM), Genepierre (Amundi Immobilier) and Selectinvest 1 (La Française AM). Despite these difficulties, dividends paid last year remained at a good level, with the average distribution rate stabilizing at 4.52%.
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