W. P. Carey's Head of European Investments, Christopher Mertlitz, has shared his assessment of market conditions following Expo Real 2026, pointing to cautious but active sentiment among participants and rising interest in alternative financing structures.
"The Expo Real 2026 reflected a market that remains characterised by caution, but where a clear willingness to transact exists when fundamentals are sound," said Christopher Mertlitz, Head of European Investments at W. P. Carey. "Economic and geopolitical uncertainties continue to weigh on sentiment. However, our conversations confirmed that companies have significant capital requirements and are actively considering how best to finance them."
Mertlitz noted growing interest in sale-leaseback transactions, particularly in Germany, where a challenging financing environment, high energy costs and the need for investment capital are prompting companies to look beyond traditional sources of funding.
The outlook for sale-leasebacks remains positive according to W. P. Carey, with widening corporate credit spreads cited as a key factor to monitor. Should that trend continue, the relative financial attractiveness of sale-leasebacks compared with other financing options is expected to increase further. Mertlitz also pointed to sustained investor demand for quality commercial property as a supportive condition for the European sale-leaseback market over the next 12 to 18 months.
W. P. Carey is a net-lease REIT with a portfolio of more than 1,700 net-lease properties covering around 17 million sqm. The firm, which has offices in New York, London, Amsterdam and Dallas, focuses primarily on single-tenant industrial, logistics and retail properties in North America and Europe, let on long-term net-lease contracts with contractual rent escalations.
