From the Current Issue
In June we started coverage of Australian markets with the inaugural issue of The Institutional Real Estate Letter – Australia, a quarterly supplement to our Asia Pacific publication.
What’s going on in China? Signs of economic deceleration are plenty. Real GDP growth is down from 12.1 percent in first quarter 2010 to 7.6 percent in second quarter 2012, the official PMI was in the contraction zone (below 50) in August and September, and the balance of payments turned negative in the second quarter for the first time since 1998.
Where is a great deal of variation in the prime or class A rents achieved in different cities across the world. The level of economic development, as measured by GDP or GDP per capita, is an important explanator, but it is by no means the only one.
Ask investors and their managers about market transparency in Asia, and they’ll agree that greater transparency is not only wanted but needed. Add to this the fact that we are not that far removed from the toll the global financial crisis took on the relationship between limited partner and general partner. The need for greater market and LP/GP transparency will continue to affect the strategies investors use to make their investments and which managers receive capital commitments from them.