Asia Pacific outlook remains positive
Despite economic-reform concerns in China and hesitant growth in Japan, “corporate and investor confidence in Asia Pacific remains intact” and is supporting solid demand from both real estate occupiers and investors, according to CBRE’s Asia Pacific Market Outlook.
CBRE anticipates rental and capital value growth of about 2 percent and 4 percent, respectively, for commercial property (office, retail and industrial) in 2015 and a 5 percent increase in real estate investment for the region.
The unemployment rate will remain low across various Asia Pacific markets, ranging from 1 percent to 7 percent in 2015. Job growth in the coming year is forecast to be above the five-year average in most countries, with the strongest growth in Southeast Asian markets.
Business growth will continue to be driven by corporate relocations. The large volume of new office stock scheduled to be completed this year will shift supply/demand dynamics in favour of tenants i