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Members of our European Banking & Finance team, including Alex Wickens, Louise Hamilton, Camilla Hobbs and Alexandra Simpson, attended UKREiiF 2026 in Leeds. Conversations with intermediaries and lenders provided a useful snapshot of current market conditions and where activity is likely to develop over the coming months.
While international capital and structuring remain important, the discussions this year were more focused on the realities of getting deals done in the current environment.
A more competitive and cautious lending market
One of the most consistent themes across meetings was the level of competition among lenders. There remains strong appetite to deploy loans, but that is into a fiercely competitive market that is creating a very challenging environment for lenders to operate in.
A situation that is only exacerbated by the noticeable growth in the number and prominence of challenger lenders in the market. These players are continuing to expand their footprint and are helping to shape how deals are priced and structured.
At the same time, sentiment among lenders felt more cautious than in previous years. Uncertainty around the direction of interest rates and wider market conditions is clearly influencing decision-making.
Slower pipeline, with focus on existing assets
A number of conversations pointed to a slowdown in new development activity. While there is still deal flow, much of it is centred on refinancings and existing assets rather than 'new money' schemes.
There remains some uncertainty around pipeline, with stakeholders taking a more measured approach in light of cost pressures and broader economic conditions.
Asset class focus, however, has remained relatively consistent. Sectors such as residential (in particular build-to-rent), logistic hotels and data centres continue to attract attention from both lenders and investors.
Operational challenges coming through more clearly
Interestingly, a number of discussions moved beyond purely financial structuring to focus on more practical challenges within the industry.
In particular, a number of our conversations touched on:
- the increasing role of AI; and
- ongoing recruitment and talent pressures
The role of offshore: still relevant, but more pragmatic
Offshore structuring continues to play an important role in facilitating investment into the UK, particularly where transactions involve international capital or more complex funding arrangements.
However, discussions in Leeds suggested a more pragmatic framing. offshore is seen as part of the broader toolkit used to get structures established and transactions completed efficiently.
As projects become more complex and capital sources more diverse, the ability to deliver clear, workable and commercially aligned structures in well-regulated jurisdictions remains key.
A market in transition
Overall, UKREiiF 2026 reflected a market that is still active but operating with a greater degree of caution. Competition for deals remains strong, but there is less visibility on new opportunities and more focus on managing existing structures.
Across our offices in Bermuda, the British Virgin Islands, the Cayman Islands, Guernsey, Ireland, Jersey and London, we advise on the full lifecycle of real estate transactions, including acquisitions, disposals, financings, restructurings and fund formation.
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