Off-market processes are usually very discrete. For a long time, therefore, there was only very little statistical information on the important players and benefits. Our study in cooperation with bulwiengesa AG sheds light on this segment for the first time ever. It reveals that the transaction volume attained with off-market models such as the HPBA Method amounts to some 40 billion euros. Below we have complied the most important results.

“The study reveals that off-market models offer greater execution certainty than conventional on-market processes – without forfeiting any transparency. Many investors are prepared to pay a higher price for these benefits.”

John Amram
Founder and Managing Director, HPBA

The 8 most important results of the study

01 Participants

96 percent of all market participants pursue off-market transactions

01
02

02 Transaction Volume

40 billion euros of off-market transactions on the German real estate market

03 Advantages

The most important advantages of off-market transactions: discretion and a higher probability of concluding a transaction

03
04

04 Success Rate

More than half of the respondents have a success rate of over 50 percent in their off-market transactions

05 Strategic Matching

89 percent are convinced that the selection of an investor is better targeted

05
06

06 Sales Prices

77 percent of investors are willing to pay more off-market

07 Transparency

More than 50 percent do not expect significant disadvantages regarding the transparency of off-market deals

07
08

08 Compliance

More than 50 percent see no conflicts between off-market practices and their corporate compliance

01 Participants

96 percent of all market participants pursue off-market transactions

01

02 Transaction Volume

40 billion euros of off-market transactions on the German real estate market

02

03 Advantages

The most important advantages of off-market transactions: discretion and a higher probability of concluding a transaction

03

04 Success Rate

More than half of the respondents have a success rate of over 50 percent in their off-market transactions

04

05 Strategic Matching

89 percent are convinced that the selection of an investor is better targeted

05

06 Sales Prices

77 percent of investors are willing to pay more off-market

06

07 Transparency

More than 50 percent do not expect significant disadvantages regarding the transparency of off-market deals

07

08 Compliance

More than 50 percent see no conflicts between off-market practices and their corporate compliance

08
  • “Everybody is doing it” – this is the surprising result of our Off-Market Study conducted jointly with HPBA. Off-market transactions are therefore by no means a marginal phenomenon, but an extremely relevant segment of the professional real estate markets in Germany. Ultimately, about one third of the transaction volume is accounted for by off-market transactions. I am certain that the topic will be of interest to a wider circle in the future, and I look forward to the coming research projects with HPBA.
    Andreas Schulten
    Fully Authorised Representative
    Bulwiengesa AG

You can find
the complete study here

You can find
the complete graphics here

Do you have any questions or
suggestions? We look forward
to your message.

You can find
the complete study here

You can find
the complete graphics here

Do you have any questions or
suggestions? We look forward
to your message.

*The data was collected by a joint research project of HPBA GmbH and Bulwiengesa AG. To this end, Bulwiengesa conducted a survey of 682 market participants – the first of its kind in Germany. Additionally, experts were surveyed regarding the definition of the term “off-market”. Results regarding transaction volumes are partly based on estimates using property tax statistics.

4th OFF MARKET STUDY

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