After the Gala Dinner reception at its annual European Conference on May 19, 2011, IPD announced the 17 winners of its European Property Investment Awards. The Awards presented by financial journalist and author Jeroen Smit at Amsterdam's Okura Hotel recognize outperformance over a three-year period to the end of 2010.
While 2010 has seen a recovery across the European property markets, it is coming off the back of some of the toughest years in the history of commercial real estate. Almost all measured markets posted positive total returns for 2010, but many still recorded further capital decline, implying a still long road to recovery.
While there are undoubted opportunities in recovering markets, there are still many signs that the underlying property fundamentals across Europe remain weak. The dangers of stagnating markets and increasing geographic polarization mean fund managers have to be constantly on their toes to stay afloat. To have outperformed their peer groups in such a market, to have found the potentially stronger assets and areas, and to have exploited those more successfully than others is in itself a great achievement.
The Awards determined by IPD's standardized performance measurement procedures recognize independently verified investment performance by pension and life funds, pooled funds, property investment companies and other professionally managed real estate portfolios across Europe.
To be eligible for the annual Awards, all funds must be measured by IPD's Portfolio Analysis Service, which provides investors with an independent audit of returns against a relevant market or sector benchmark. The Awards identify consistently measured real estate investment performance across seven national markets and three European regions, split into:
Eight balanced fund awards: Highest total return relative to the appropriate national all property benchmark, annualized over three years to December 2010
Eight specialist fund awards: Highest total return relative to the appropriate national sector benchmark, annualized over three years to December 2010
One regional fund award: Highest total return relative to the appropriate regional or sector benchmark, annualized over three years to December 2010.
Speaking at the awards ceremony, Ian Cullen, Co-Founding Director of IPD, said: "These awards are to recognize and reward those real estate investment managers who continue to outperform their peers in a still very difficult and challenging property market. Though there has been recovery in the last year it has been uneven, patchy, and difficult to predict. We are here tonight to congratulate those managers who have managed to find the successes in such a difficult si