Pictet PropCast: Zsolt Kohalmi on the New Rules of Real Estate and Responsible Investing

By: Velorine

What happens when a seasoned investor with decades of global experience talks about the real estate market’s next big shift? You get insight that’s not just smart, it’s actionable.

In a standout episode of PropCast, Andrew Teacher, co-founder of Lauder Teacher, sits down with Zsolt Kohalmi, Global Head of Real Estate and co-CEO of Pictet Alternative Advisors, to talk about where real estate is heading, how family offices are changing the game, and why now might be the best time in a decade to invest in real estate.

Alternatives Are on the Rise But Real Estate Still Has a Role

With over €700 billion under management, Pictet isn’t just one of Europe’s most respected private wealth managers, it’s also a frontrunner in alternatives, managing around €50 billion in this high-growth space.

Zsolt explains that while real estate used to be the crown jewel of alternative investments, it’s been outshined recently by private equity and infrastructure due to better short-term performance and the impact of rising interest rates. Yet, that’s exactly why now presents a golden opportunity.

“In times of disruption, disciplined investors thrive,” Zsolt notes, pointing to lower property valuations and capital scarcity as signs of a buyer’s market for those with patience and perspective.

Cultural Nuance Meets Market Opportunity

Having spent over two decades in London and now based in Geneva, Zsolt highlights how regional culture influences investment behavior.

• In Switzerland, decisions are slower and built on trust perfectly suited to Pictet’s long-term approach.
  
• Meanwhile, Southern Europe, often underestimated, is stepping into the spotlight. Countries like Spain and Italy are now outperforming, while traditionally “safe” markets like Germany and the UK face deeper structural challenges.
  

This regional divergence opens doors for savvy investors especially those with flexible capital and a nuanced understanding of local dynamics.

From Office Towers to Last-Mile Logistics and Luxe Living

Real estate isn’t just about skyscrapers and shopping malls anymore.

Pictet is turning its focus to:

• Last-mile logistics, fueled by the e-commerce boom and the need for quick delivery infrastructure in urban areas.
  
• Luxury residential and build-to-rent (BTR) developments in high-demand cities, where supply lags far behind demand.
  

Zsolt sees these sectors as key to delivering risk-adjusted returns especially as traditional office and retail assets struggle with oversupply and underutilization.

Sustainability: Not Just ESG It’s About Staying Relevant

Pictet has been ahead of the curve on sustainability for more than 25 years. But as Zsolt emphasizes, it’s not about ESG checkboxes, it’s about asset survival.

“Greenification is no longer optional. If it’s not energy-efficient, it’s at risk of becoming a stranded asset,” he warns.

Pension funds and institutional buyers now demand buildings that meet high environmental standards. If an asset doesn’t measure up, it may not sell or worse, it may become obsolete.

Family Offices and Long-Term Wealth: Quietly Reshaping Real Estate

One of Pictet’s greatest advantages is its deep, long-standing relationships with European family offices, many of whom have held real estate for generations.

Zsolt shares that these investors aren’t chasing short-term gains. Instead, they’re focused on intergenerational wealth, sustainability, and preserving value in uncertain times values that align perfectly with Pictet’s real estate philosophy.

Final Word: Real Estate’s Future Belongs to the Patient

Zsolt Kohalmi’s message is clear, while the real estate market faces headwinds, it’s also full of opportunity for those who think long-term, embrace sustainability, and focus on fundamentals.

With shifting cultural dynamics, rising demand for logistics and housing, and a renewed focus on green assets, the next chapter of real estate isn’t just coming, it’s already here.