European Emerging Real Estate Markets: Re-Examining Investment Attributes and Framing Opportunities

M Haran, M McCord, P Davis, J McCord, C Lauder, G Newell

Research output: Contribution to journalArticle

4 Citations (Scopus)


The purpose of this paper is to examine European emerging real estate market dynamics and performance attributes in order to determine the extent and nature of inter-relationships between markets across the real estate cycle. The paper affords a timely update on the performance of three emerging European real estate markets, namely the Czech Republic, Hungary and Poland, following the reinstatement of lending provision for European emerging real estate investment markets in 2014. The paper employs lead-lag correlations and Grainger Causality to examine inter and intra relationships across three emerging European real estate markets, namely the Czech Republic, Hungary and Poland. Optimal portfolio analysis is undertaken to explore the role of emerging real estate markets within the confines of a multi-asset investment portfolio as well as a Pan-European real estate investment portfolio.The results demonstrate the opportunities afforded by the European emerging real estate markets in terms of both performance enhancement and risk diversification. Significantly, the findings highlight the lack of ‘uniformity’ across the European emerging markets in terms of their investment potential, with Grainger Causality confirming that the real estate markets in the Czech Republic, Hungary and Poland are not endogenous functions of one-another’s performance. The research clearly articulates the need for intricate understanding of the attributes afforded by the different emerging markets in order to fully realise the performance attributes within the confines of a Pan-European real estate investment portfolio.
Original languageEnglish
Pages (from-to)27-50
JournalJournal of Property Investment and Finance
Issue number1
Publication statusPublished - 25 Jan 2016



  • Real estate investment
  • Portfolio optimization
  • Emerging markets Europe
  • Grainger causality
  • Lead-lag correlation
  • Real estate performance

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