The office sector has faced a torrent of bad news the past few years and lost its appeal for many investors. But the really bad news has been coming mostly from the United States and Europe. Asia Pacific office? It is not nearly as bad and has more positive trends going forward.
Philipp von La Rosée is managing director, based in Munich, of AM Alpha — a family office and multi-family office — and Caroline Dellasega is the organisation’s vice president of investor relations, based in Singapore. They recently spoke with Institutional Real Estate Asia Pacific’s senior editor Dr Jennifer Molloy about the firm’s real estate investment programme.
Once again, we are going through a period of uncertainty leaving many institutional investors with exposure to real estate wondering whether “this time is different”.
The economic landscape across the Asia Pacific region remains challenging, with consumption expenditure moderating from the post-pandemic surge and higher cost-of-living pressures weighing on households. Despite these headwinds, bright spots persist, including signs of a turnaround in global trade and easing inflationary pressures.
When you claim to be something everyone else claims to be, it not only doesn’t differentiate your firm, it also doesn’t carry much credibility.
Although inflation has yet to relent to a level where central banks are comfortable enough to normalise policy interest rates, the global economy has remained remarkably resilient thanks to strong hiring and consumer spending, notes Principal Real Estate’s 2024 Mid-Year Real Estate Outlook.
Ho Bee Land has sold a 49 percent stake in special purpose vehicle HB Universal (HBU), the entity that holds Singapore’s Elementum — a state-of-the-art biomedical life sciences development designed by Skidmore, Owings & Merrill — at an agreed property value of S$555 million (US$427 million).
Aware Real Estate has expanded its industrial real estate footprint in Melbourne in partnership with Barings with the acquisition of an A$600 million (US$404 million) business park, Austrak Business Park, a 99-hectare high-quality industrial estate in Melbourne’s north, according to media outlets.
Portugal and the Czech Republic in Europe, Japan and Singapore in Asia, and Canada in the Americas are the best locations in their respective regions for industrial occupiers looking to nearshore supply chains, according to Savills.
Quadrant has acquired 6 Gracechurch Street, in the City of London, in partnership with a private Singapore-based family office as part of a new mandate.
The joint venture platform jointly established by Warburg Pincus and Lendlease has, together with its managed investment vehicle LINO, acquired a S$1.6 billion (US$1.2 billion) portfolio of assets in Singapore from entities associated with Blackstone and Lim Chap Huat, executive chairman of Soilbuild Group Holdings.
As GRESB reflects on 15 years of industry progress on the environmental, social and governance (ESG) front, the journey in the Asia Pacific region offers valuable insights as well.