For institutional investment purposes, real estate usually refers to the commercial sectors of office, retail and industrial (including logistics) and the leased (rather than owner occupied) residential real estate sector. Increasingly, real estate investment also refers to debt secured against real estate assets.
The types of real estate that make up the investable market vary between countries, as do their financial characteristics. In most countries, institutional investment in the three main real estate sectors can be found. Institutional investment in the residential sector is less common, but where available it serves as an important sector. For example, in the UK, institutional investment in the residential sector is very low but in the Netherlands, the US and Switzerland, it is relatively high.
Source : UBS AG