Investment activity has slipped overall in recent months, but tenant demand has held up across key commercial real estate markets globally, according to the second edition of UBS Asset Management’s 2019 Real Estate Summary, which evaluates the performance and outlook of global real estate investment markets moving into the second half of the year.

Globally, the economy did better than expected in first quarter 2019. Delayed policy tightening supports real estate, and investment activity was weaker across all regions, with cap rates levelling off. Occupier and investor markets appear more resilient to any shock from the economy than they were prior to the global financial crisis.

In the Asia Pacific region, monetary policy is reportedly turning more accommodative, with stable job growth supporting demand for office and retail spaces. Investment momentum continues to slow and prime yields are showing signs of hitting resistance levels. According to UBS, long-t