Commitments to private real estate hit a record low
Capital commitments from U.S. public pension funds to privately managed real estate vehicles amounted to $31.6 billion in 2024, marking the lowest fundraising volume recorded since 2013. Year over year, the total commitment volume decreased 3%. While the number of individual commitments increased in 2024, the average commitment size decreased by 8% YoY from $111M in 2023 to $102M in 2024.
Globally, based on our analysis of Preqin data on real estate funds, fundraising reached $253 billion in 2021 but is projected to decline to approximately $105 billion in 2024—a 58% decrease. This drop is nearly comparable to the 61% decline seen during the GFC, when fundraising fell from $132 billion in 2008 to $52 billion in 2009.1
To continue reading, download a PDF of the 2024 Fundraising Year in Review.
For additional information, please contact Scott McIntosh.