“We foresee investor plans becoming more discerning and further afield to the logistics, dwelling and information center sectors.”
The continuing low rate of interest environment and inviting central bank policies can also be expected to offset some of their macro headwinds this season, and supply additional assurance to investors’ cross border plans, says Crow.
Based on Regina Lim, executive manager, Asia Pacific capital markets research in JLL,”investors will probably stay highly selective in their funding allocations at Asia Pacific. A lack of supply will probably prompt investors to rethink medium-term plans and look more closely in different asset classes throughout the area”.
However, JLL anticipates global investment from commercial property to slip to approximately US$780 billion this past year. Investors may exercise caution and selectivity particularly given the limited access to resources, and this might negatively affect transaction volumes.
From the Asia Pacific, JLL claims the area saw a strong start to this year, and a increase in investment activity revolved around center markets like China, Japan, Singapore, and South Korea. Meanwhile, the political uncertainty has been affect Hong Kong where investment dropped 53 percent y-o-y in 2019.
Globally, REITs have outperformed other worldwide asset classes within the previous ten decades, making annualised total returns of 11 percent, when compared with single-digit performances from international equities and fixed income capital. JLL states it anticipates more listings from Singapore and India this season may diversity the regional REIT base.