Artificial intelligence (AI) is reshaping office and business park demand across Asia Pacific (APAC), not through broad contraction but through a redistribution toward higher-quality, infrastructure-ready assets, according to a report by CapitaLand Investment.
The report highlights a growing divide in which premium, well-located spaces remain essential for innovation and collaboration, while commoditized assets face increasing obsolescence. AI is also transforming the nature of work, driving demand for more specialized, data-intensive environments and supporting growth in higher-skilled roles rather than reducing overall employment. Market impacts vary across the region, with strong demand in hubs like Singapore and India, while China faces broader headwinds despite emerging AI-driven leasing activity. Overall, the shift is reinforcing a flight to quality and increasing the importance of asset selection as performance becomes more dependent on location, infrastructure and a
