Asia Pacific commercial real estate investors have been expecting, and pricing in, the 25 bps U.S. Fed rate hike. The reaction to the U.S. Fed statement has been to expect a continuing rise in the policy rates across 2017. Inflation is expected to rise as a result of a good economic outlook and President-elect Trump’s deficit spending plan. Nominal rate rises at the same time as inflation growth will leave real rates much where they are now so what are the overall implications for Asia Pacific based real estate investors?
Access the latest research paper from JLL to explore the market by market impact in the region.