A striking trend has emerged over the past 18 months: U.S. net-lease and sale-leaseback investors are moving into Europe at pace. What was once a niche segment in the European market—dominated by a handful of specialised firms—is now attracting some of the largest and most sophisticated private equity and credit investors from the U.S.
Ever since our first net-lease search in London in 2017, Caravel has been closely involved in the evolution of the asset class in Europe — giving us the insight and network to recruit effectively for investors in this market.
The catalyst?
A combination of surging capital formation in the U.S., the search for stable income in a higher-rate world, and the demonstration effect of major fundraising successes such as Blue Owl’s record net-lease capital raise. Large U.S. institutions now see Europe as the next frontier for scaling long-duration, inflation-linked income strategies with strong tenant credit.
Why U.S. groups are looking to Europe
Europe offers three dynamics that appeal to U.S. net-lease platforms:
1. A deep, underpenetrated sale-leaseback market
European corporates are materially less familiar with sale-leaseback financing than their U.S. counterparts, meaning deal origination is far less intermediated and pricing can be more attractive.
2. Diversified credit and sector exposure
Across the UK, Germany, France, the Nordics and Benelux, investors can access mission-critical industrial, logistics, healthcare, life sciences and data-infrastructure assets—mirroring the very sectors that have fuelled net-lease growth in the U.S.
3. A structural shift in corporate balance-sheet strategy
With higher rates and tighter bank lending, European corporates are increasingly open to unlocking capital through sale-leasebacks, providing a growing pipeline of opportunities.
Who is moving first
A number of major U.S. firms have already made their intentions clear:
- New Mountain Capital has formally announced plans to expand its S. net-lease strategy into Europe, with early indications they will be building a local presence.
- Starwood Capital recently acquired Fundamental Income and is now assessing how to scale a pan- European net-lease platform.
- Apollo’s acquisition of Bridge Investment Group includes explicit plans to expand their net-lease strategy across Europe.
- Blackstone and PIMCO are both actively bolstering their European net-lease and income-oriented real-estate strategies, signalling deep conviction in the asset class.
These groups join the established U.S. operators who already have strong footholds in Europe, including Clarion Partners (Europe), W. P. Carey, and LCN Capital Partners, each of whom has expanded steadily through the UK and continental markets.
What this means for talent
As U.S. capital enters Europe, the next challenge is building teams. These platforms need professionals who combine:
- Corporate-credit expertise.
- Direct origination capability.
- Experience structuring long-duration leases.
- Pan-European transaction fluency.
- Tenant engagement and underwriting discipline.
Demand is already outpacing supply—particularly for mid-senior professionals who can originate, structure and execute deals across multiple jurisdictions.
A growing opportunity for the European market
The arrival of U.S. net-lease players is likely to accelerate:
- Competition for assets, aiding price discovery
- Corporate adoption of sale-leaseback financing
- Liquidity in an otherwise slow real-estate transaction environment
- Cross-border M&A, as S. groups acquire or partner with local platforms
Most importantly, it signals a long-term vote of confidence in Europe’s underlying corporate real-estate fundamentals.
How Caravel supports this evolution
As specialist recruiters at the intersection of real estate and finance, Caravel is uniquely positioned to help U.S. and global investors establish and scale European net-lease teams. Our experience spans London, continental Europe and the U.S., and we understand the specific blend of investment, credit, leasing and corporate-finance skills required to build successful platforms in this fast-growing niche.
For firms building or expanding net-lease teams in Europe, Caravel provides the market intelligence, networks and execution needed to hire professionals who can deliver genuine origination capability and long-term performance.
