When faced with an apparently bottomless chasm, it is natural to look down in fear of what might lie in its depths. The elegant suspension bridge that has been constructed to help you get across the chasm can be a source of wonder. But neither the chasm nor the bridge can tell you much about what the terrain will be like on the other side. And it is that new terrain real estate investors need to understand.

On 30 April, the China Securities Regulatory Commission and the National Development and Reform Commission jointly announced a pilot scheme to promote REITs in the infrastructure sector. The announcement marks a crucial step to utilise China REITs (C-REITs) as a mechanism for economic revival in the wake of the COVID-19 pandemic.

Roberto Versace, head of tactical real estate, Asia Pacific, at APG Asset Management Asia, discusses short- and medium-term risks to real estate markets as a result of the pandemic, as well as what institutional investors should keep in mind over the next few years.

Allianz Real Estate, acting on behalf of several Allianz companies, and Charter Hall Group’s managed wholesale fund CPIF have formed a 50-50 joint to acquire an Australian logistics portfolio of four ALDI distribution centres for A$648 million (US$448 million).