Commercial real estate investment in Asia Pacific rose 20 percent year-over-year in first quarter 2025 to $36.3 billion, reaching the highest first quarter level since the 2022 rate hike cycle, according to JLL. Despite the threat of tariffs, the region recorded a sixth quarter of year-over-year growth, with all property sectors except industrial & logistics experiencing higher investments, demonstrating investors’ commitment to rational decision making grounded in objective fundamental analysis.
2025 saw the highest first quarter cross-border volumes since 2019, with Asia Pacific notching $8.6 billion in cross-border investment volumes, a 152 percent year-over-year growth. The most attractive sectors to overseas investors were office, logistics and living assets. Global capital sources made large acquisitions in Japan across the office and retail sectors, while Singaporean investors made moves in office, logistics and hotel assets overseas.
Japan also retained i
