Press Release
Offices Back in Favour with Lenders Across Europe
June 16, 2026
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Lender sentiment towards offices continues to improve, with a resurgence of interest in prime assets, according to new research from CBRE.
Respondents to CBRE’s European Lender Intentions Survey* ranked offices as the third most attractive sector, climbing three places from sixth in the firm’s 2025 edition. When broken down by lender type, banks only selected living assets over offices, reflecting renewed confidence in the sector’s fundamentals.
CBRE’s data shows that European office investment volumes reached €10.7bn for Q1 2026, up 6% when compared to Q1 2025. European office investment volumes reached €48.5bn for 2025, reflecting an increase of 13% year-on-year. The Trocadéro building in Paris, which CBRE sold last year, achieved the largest single asset acquisition loan in Europe since the pandemic, proving banks’ readiness to finance significant office deals.
However, living retains top spot, followed by industrial & logistics. While few lenders made data centres their first choice, sentiment towards the sector has strengthened and there is a material upward shift in reported loan-to-value ratios for new loans when compared with last year.
As with data centres, alternatives such as co-living, healthcare, affordable housing, senior living and self-storage are garnering attention. 86% of lenders stated that they would lend to at least one alternative sector, marking a 5% increase year-on-year. Banks exhibited a stronger focus on living related subsectors, while non-bank lenders displayed more willingness to deploy capital across all alternatives.
Almost three quarters of lenders (72%) said they plan to increase their origination activity year-on-year, suggesting that liquidity in real estate debt markets remains healthy despite changes in Europe’s macroeconomic outlook.
CBRE’s research found a notable increase in willingness to provide development finance, up from 60% in 2025 to 69% this year. When split by lender type, this climbed to 81% for non-bank lenders, who exhibit a higher risk appetite. Respondents from banks were almost exclusively focused on senior loans and development lending.
For CBRE, offices have been the biggest asset class for debt raising in each of the last three years, and our findings this year reflect a synergy between intention and execution. We’ve seen margin cuts that are enabling cheaper debt, and the uptick in office investment volumes paired with the ongoing lack of supply illustrate the strength of the sector.
Data centres are at the heart of digital infrastructure and AI growth, and we see lenders progressively looking at the sector as a result. However, there is still a lack of conviction among some lenders due to lack of exposure, and lack of sector knowledge.
We expect to see strong demand for new loan issuance in the second half of the year, as banks and debt funds seek to hit budgets and allocations before the year-end.
The uncertain geopolitical landscape is front of mind, but less emphasis is being put on lower investment volumes than in previous years. This, alongside improved sentiment for all sectors this year, implies that real estate fundamentals are improving.
About CBRE Group, Inc.
CBRE Group, Inc. (NYSE: CBRE), a Fortune 500 and S&P 500 company headquartered in Dallas, is the world’s largest commercial real estate services and investment firm and a premier provider of critical infrastructure services. The company has more than 155,000 employees serving clients in more than 100 countries. CBRE serves clients through four business segments: Advisory (leasing, sales, debt origination, mortgage servicing, valuations); Building Operations & Experience (facilities management, property management, flex space & experience, critical infrastructure); Project Management (program management, project management, cost consulting); Real Estate Investments (investment management, development). Please visit our website at www.cbre.co.uk.