Institutional investors in France look set to increase their allocations to non-listed real estate funds by 56% over the next three years, rising from EUR 34 bn to EUR 53 bn, according to INREV's Investor Universe France Survey 2011.

France is Europe's largest institutional market but with the exception of Germany, has the lowest real estate exposure at 5.7%. Due to its sheer size the total amount dedicated to real estate is the largest among the five countries studied by INREV so far at EUR 130 bn.

With prospective total assets under management estimated to grow by 15% by 2014, and an expected increase of real estate allocation by 1%, the outlook for the non-listed real estate funds sector is encouraging, INREV said. The survey follows recent examinations of the non-listed real estate markets in the UK, Germany, the Netherlands and Sweden. It adds to the growing cannon of knowledge about the size and composition of the European institutional non-listed real estate universe.