Asia Pacific is set to attract increased investment in real estate this year, with Tokyo predicted as the region’s hottest city for global investors.
The annual ANREV Investment Intentions Report, released today, cites Tokyo, Sydney, China Tier 1 cities and Melbourne as the region’s top investment destinations in 2015 with almost half (45%) of survey respondents choosing commercial real estate in Tokyo as their preferred sector and market.
“Positive rental growth combined with increasing capital values and the low cost of borrowing has put Tokyo firmly on the radar of investors,” said Megan Walters, JLL’s Head of Research for Asia Pacific Capital Markets.
“The Japanese city has emerged as one of the most attractive investment destinations for capital globally and we expect market sentiment to remain strong throughout the year.”
Over US$140 billion is predicted to transact in the commercial real estate sector in Asia Pacific in 2015, according to estimates by JLL.
“Asia Pacific has seen a level of structural growth not seen in other regions. We expect a record-breaking year for the region in terms of commercial real estate transactions.” Walters added.