Research conducted by Intertrust also found that 48 percent said the outcome of the German Federal Election in September would have the same effect.
The survey found that 91 percent of investors said the French election would be a key driver in influencing investment decisions in 2017, while 73 percent cited the German election as a key factor, 68 percent named the effect of Donald Trump’s Presidency, and 58 percent said they would be influenced by the Brexit negotiations.
In addition, 42 percent of investors cited potential terror attacks as a reason to review of delay planned property sales.
Despite this, investor appetite remains strong across the European landscape, according to Paul Lawrence, global head of funds at Intertrust.
Lawrence said: “Investor appetite in European real estate remains robust given its reputation as a low-volatility asset class providing a strong yield and, in many cases, a refuge for capital preservation.”
He added: “That said, investors have a cautious eye on the elections and as such we expect to see a reluctance to venture further up the risk curve in search of stronger returns, with a preference for investment in lower-risk countries.”
The research was conducted by Citigate Dewe Rogerson using Preqin data.