Asia Pacific Enjoys Record $45 Billion of Commercial Property Investment in Q1

According to global real estate consultant JLL, commercial real estate investment in Asia Pacific was up 14% in the first quarter of 2019, setting a new record of $45 billion in sales volume. Notably, Hong Kong slid from fourth to sixth place year-on-year in the world's most liquid investment markets, and from fourth to fifth place year-on-year in the world's largest recipients of cross-border investments. Given the US Federal Reserve's likely freeze on rate hikes this year, investor sentiment in Hong Kong has also rebounded, with buyers chasing retail assets located beyond traditional core districts. A recent notable deal is PAG's reported USD 1.5 billion acquisition of Mapletree Bay Point in Kwun Tong from Singapore's Mapletree Investment. Joseph Tsang, Managing Director at JLL in Hong Kong commented, "Even with the generally weaker performance from Hong Kong at the start of this year, Hong Kong's real estate market is beginning to rebound since its mild depression around the end of last year. Investor sentiment is optimistic, as the market expects that this positive trend is set to continue. In the months to follow, we believe that industrial properties will outperform in the property investment market, due to new measures in the Government's Revitalization Scheme."