There is a strong strategic case for geographic diversification within real estate allocations. But the compelling benefits of investing beyond familiar home markets are inevitably twinned with genuine complexities.

The US commercial real estate market is moving into a new phase, and global investors should take note. After several years of higher interest rates, reduced transaction volume, widening bid-ask spreads, refinancing pressure and uneven property performance, the market is shifting from broad repricing towards selective recovery. The key word is “selective”.

We are all overwhelmed. Anyone who claims otherwise isn’t paying attention. The volume alone is exhausting. But volume isn’t the real problem. The deeper frustration is not knowing what to trust, or even what is shaping what we’re seeing.

Zurich and Tokyo are the only two cities globally facing high risk for a housing bubble, according to the UBS Global Real Estate Bubble Index 2026. The index indicates elevated risk levels are evident in Miami, Dubai, Seoul, Lisbon and Geneva.

Novus, in partnership with a Japanese investment consortium, has announced the settlement and commencement of Novus on Forest (artist renderings pictured), a build-to-rent (BTR) development located at 2–16 Epping Road and 2–4 Forest Grove in Sydney’s north-west.

M&G Real Estate has sold Frontier Shinjuku Tower, a 24-storey mixed-use property in Tokyo’s Nishi-Shinjuku district, after increasing the building’s net operating income by 23 percent. The property comprises 298 residential apartments, alongside retail and office space.

The LO-GOI Group has established LO-GOI Vietnam Core Mandate 2, a new logistics and industrial real estate venture formed with three institutional investors from Asia. The venture is the LO-GOI Group’s second core mandate currently under management in Vietnam.

The Canada Pension Plan Investment Board (CPP Investments) has announced an INR 30 billion (US$309 million) investment in Prestige Hospitality Ventures Ltd (PHVL), the hospitality platform of Prestige Estates Projects Ltd, an Indian real estate developer.

SC Capital Partners Group has sold Rivervale Mall in Singapore on behalf of its SC Core Fund (SCORE) in an off-market deal. The suburban retail asset was acquired in March 2019 for S$230 million (US$179.9 million) and sold for S$276 million (US$215.9 million), representing approximately a 20 percent premium to acquisition cost, with the transaction completed on 30 September 2026.

Global unlisted real estate fund returns continued to improve through the second quarter of 2026. The MSCI Global Quarterly Property Fund Index (GPFI) delivered a rolling 12-month net total return of 4.3 percent, extending the recovery that began in 2024 and marking the strongest performance since the market correction.