
Risk-hungry Asian investors eager to snap up properties over the next six months
CBD offices are the most coveted.
Majority of Asian investors plan to expand their real estate portfolio over the next six months. Colliers International’s 2015 Global Investor Sentiment Report today revealed that 74% of investors in the region are looking to invest in properties in the next half year, up from 69% last year.
The report also revealed that more than half of Asian investors claimed that that they were likely to take on more risk over the next 12 months in order to achieve superior returns.
Capital remains undeterred by leveling market. Asian real estate investors remain surprisingly confident when allocating capital to the region, in spite of the fact that the proportion of Asian investors who believe there will be an improvement in investment conditions over the next 12 months is down to 39%, compared with 62% last year.
There will also be stronger volume growth ahead. 73% of Asian investors believe investment volumes will further increase in 2015, with 41% stating that they plan to invest in China over the next 12 months.
The robust office market is the most-preferred sector of Asian investors. A whopping61% of respondents indicating that they intend to target CBD offices within the next year.
"The 2015 Global Investor Sentiment survey was revealing -- we learned that market liquidity remains a concern for most Asian investors after seeing a fall in sale transaction volumes in individual markets in the past 12 months. Additionally, development opportunities have become increasingly popular in traditional markets where returns have been severely compressed,” said Terence Tang, Managing Director, Capital Markets & Investment Services Asia at Colliers International.