What is the ranking of asset classes based on typical loan-to-value (LTV) ratio from highest to lowest?

The ranking of asset classes based on typical loan-to-value (LTV) ratios from highest to lowest reflects the relative risk and financial stability associated with each type of property. In general, logistics properties tend to have the highest LTV ratios due to their stable cash flows and significant demand driven by e-commerce growth, which makes them a safer investment. The office sector typically follows, as it has historically provided reliable income, although market conditions can affect LTVs due to varying demand for office space.

Data centers, while increasingly important in the digital age, can have slightly lower LTV ratios due to their specialized nature and the associated risks of technological obsolescence or market fluctuations. Alternatives, which can include various non-traditional property types, generally present higher risk and therefore lower LTV ratios compared to the more stable asset classes mentioned earlier.

Therefore, the correct ranking in option B—Logistics, Office, Data Centers, Alternatives—accurately reflects these considerations by placing logistics at the top with the highest LTV, followed by office properties, then data centers, and lastly alternatives at the bottom with the lowest LTV ratios.