Asia Pacific real estate investment activity registers significant COVID-19 impact in first half 2020

The full impact of the COVID-19 pandemic was felt deeper in Asia Pacific real estate markets in second quarter 2020 than the previous quarter, contributing to investment volumes and rental prices declining across most major commercial asset classes in the first half of the year. According to JLL, first half investment volumes in Asia Pacific declined by 32 percent year-on-year, with second quarter activity down by 39 percent year-on-year accelerating from a 26 percent drop in the first quarter.

The decline in investment volumes continued as more economies introduced lockdowns and travel restrictions, further impacting investors’ short-term capital deployment plans. Singapore (down 68 percent) and Hong Kong (down 65 percent) registered the largest year-on-year investment declines in the second quarter, while drops in Australia (down 58 percent), South Korea (down 45 percent) and China (down 15 percent) were offset by a resumption of activity in the latter parts of the second