The performance of UK regeneration property within a mixed asset portfolio

摘要

Urban regeneration has been an integral focus of central government policy in the UK for more than three decades and has played a pivotal role in enhancing the competitiveness of the UK economy, repositioning cities and city regions as the mainstays of economic growth. Utilising IPD data, this study confirms the capacity of regeneration property to match or outperform the wider real estate market in terms of total return over the medium-long term. Significantly, optimal portfolio analysis demonstrates that urban regeneration property replaces mainstream real estate within a multi-asset portfolio based on the total returns performance of equities, bonds, mainstream property and regeneration property over the 28-year time series 1981-2008.