What’s Up with REITs in Asia?
In late March, I attended an annual conference of the China Commercial Real Estate Association. While other conferences in Asia have been struggling to get attendees, this meeting attracted more than 400 participants. There was a lot of enthusiasm, a prize award ceremony, and it didn’t feel as though the Chinese economy has lost its steam and the property markets have been in decline for some time.
Several presentations were dedicated to REITs. Many industry leaders have written in the past about the need for a REIT market for further development of the Chinese real estate industry. However, until recently the central government was not in favor of this idea, and several real estate companies had to go overseas to list REITs holding mainland Chinese properties. Several such REITs have been listed in Hong Kong and Singapore. Recent media reports suggested there was a change of heart on the part of central government bureaucrats and that the REIT market may soon see the light