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The global real estate and construction landscape is evolving rapidly, shaped by economic uncertainty, housing affordability pressures, and the influence of emerging technologies such as artificial intelligence (AI). Investors and developers are grappling with uncertainty while balancing financial returns, sustainability, and regulatory requirements.
In this conversation, we provide a global perspective on housing supply, emerging asset classes, and practical strategies for navigating today’s market, drawing on the experience of Grant Thornton’s Australian and global heads of Real Estate & Construction. Their experience across multiple markets reveal the key forces driving investment and development today, and how organisations are adapting their strategies in response.
Listen back for insights into the key factors influencing real estate decisions across Australia, the UK, and globally – giving leaders the context and tools to make informed decisions in a changing market.
Spotlight into key themes
1. Global market conditions and housing affordability
Economic shifts, rising interest rates, and geopolitical instability are creating uncertainty for real estate and construction decision-making. Housing affordability remains a pressing issue globally, particularly for younger generations. Regulatory hurdles, labour shortages, and planning constraints in both the UK and Australia continue to impact supply and investment.
2. Housing stock and asset classes
From built-to-rent and mid-market housing to student accommodation and data centres, the real estate sector is exploring new investment opportunities. While built-to-rent is gaining traction, affordability impacts remain limited, and data centres are growing due to AI-driven demand, alongside energy and sustainability considerations.
3. Sustainability and investment priorities
Sustainability has become central to real estate strategy. Net zero goals, environmental, social and governance (ESG) accountability, and regulatory reporting are reshaping priorities, and refurbishment and efficiency projects are emerging as key approaches. Balancing financial returns with sustainability remains a core challenge for investors and developers.
4. Key takeaways
Real estate and construction leaders face rising interest rates, affordability pressures, and shifting investor priorities. Success requires adapting to global uncertainty, exploring emerging asset classes, and aligning sustainability goals with financial performance. The key is maintaining a long term vision while staying agile – recognising which shifts demand permanent change and which ones call for proven strategies to weather short-term disruption.
Explore how these trends impact your business
Shifting market dynamics, rising costs, and regulatory changes are demanding more of real estate and construction businesses. Start a conversation with us today about how these trends apply in the context of your business, or get tailored advice on investment, asset strategies, or structuring your projects for long-term success. We’re here to help you explore practical solutions, identify opportunities, and take steps to help position your organisation for growth.
For more information, please contact:
Anika Reside
Anika is a Partner in Grant Thornton's national indirect tax team and specialises in GST and fuel tax. Anika is committed to delivering an exceptional client experience while solving complex problems.
Matt Maltz
Matt Maltz is a real estate tax Partner who advises real estate funds and global institutional investors on investments into UK and pan-European real estate, providing tax structuring, tax compliance, and tax due diligence services. Matt's expertise spans all real estate sectors, including commercial, office, student housing, retail, industrial logistics, hotels, and more.
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Real Estate & Construction
Supporting the sector as it navigates continued economic and social shifts
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