Asia Pacific (APAC) commercial real estate markets retained their momentum in the second quarter of 2026, with transaction volume rising 20 percent year-on-year to $46.1 billion. According to MSCI’s latest Asia Pacific Capital Trends report, growth was broad-based across most major sectors and markets, even as the region absorbed a nervy start to the year from the outbreak of the U.S.-Iran war and renewed increases in borrowing costs.
Retail was the strongest-performing sector of the quarter, with volume doubling over the previous year to overtake industrial as the second-largest property type for the first half. Office and industrial activity also picked up, supported by improving leasing fundamentals and largely stable transaction yields, while data center acquisition volume eased even as asset-level activity remained active. Several niche segments continued to mature, including student housing and multifamily-for-rent strategies, as buyers grow more comfortable
