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What Does Quantitative Easing's End Mean for Real Estate Prices?

  The US Federal Reserve declared this week that its quantitative easing (QE) program of purchasing mortgage-backed securities and US government bonds, which it started in 2008 in an effort to boost the economy by lowering long-term interest rates, would come to an end.  propertyfinder The news did not come as a shock. The Fed has been signaling this for over a year, in fact taking the Band-Aid off gradually. The market's immediate reaction was measured, with the 10-year U.S. Treasury yield rising just slightly in the previous week—less than 10 basis points (bps) as of midday on October 30, 2014. The end of quantitative easing is a significant move forward in the recovery from the Great Recession. While the medium-term consequences are difficult to forecast at this time, popular wisdom suggests that interest rates will rise in 2015. Several factors, in our opinion, reduce the risk of a significant increase in interest rates in the medium term. The most significant fact...

Institutional investment in Asia-Pacific real estate markets has increased by 40%.

  According to global real estate consultancy CBRE, four major transactions worth more than $500 million each were completed in the third quarter of 2014, bringing overall real estate investment value in Asia Pacific to $35 billion, up 40% quarter-on-quarter. South Korea, Japan, and Australia saw particularly high levels of activity. The region's cross-border investment activity has remained active, totaling $16 billion in the first nine months of 2014, up 20% year on year.  qatar seal Greg Penn, CBRE's Managing Director of Capital Markets, said, "Looking ahead, we anticipate a busy market for the rest of the year, with Japan and Australia leading the way in terms of transactions. Investor confidence is also that in Southeast Asia and India, especially in Vietnam, as the country's economy improves and prices rise. With India, we're seeing more international investors interested in forming joint ventures with local companies. Following the May election of a new go...

Many regions would benefit from the 2015 global office market forecast.

  Fundamentals are improving in many office markets across the Americas, Asia, and Europe, according to Cushman & Wakefield's latest 2015-2016 Global Office Market Study.  doha property finder "From a global perspective, 2014 was a better year for the office real estate industry, with many markets entering 2015 on stable footing," Maria T. Sicola, head of Cushman & Wakefield's Americas Research division, said. "Of course, certain markets in or near areas of political unrest and those with stagnant economic growth continue to struggle, but overall, things are better than they were a year ago." THE AMERICAS AND THE UNITED STATES U.S. cities are witnessing economic growth, well beyond those dominated by the robust technology and energy industries, which is translating into solid office business fundamentals. "Demand is increasing, especially for newly constructed or refurbished space," Sicola said. "While rental growth has slowed in...

The Most Expensive Office Markets in the World Have Been Revealed.

  Hong Kong retains its title as the world's most expensive market.  houses for sale Despite the fact that rents are expected to decrease in 2019, Hong Kong will maintain its status as the world's most expensive office market, according to Knight Frank's latest Global Outlook Report. In a tale of two halves, while Hong Kong Island rentals benefit from limited supply, they will face increasing competition from lower-cost areas such as Kowloon. Despite this, Hong Kong Island rents would remain nearly 24% higher than the long-term average.   The cities with the highest rental increases in 2019 will be Melbourne and Sydney, with rents increasing by 10.1 percent and 8.6 percent, respectively. Owing to job growth and relatively low levels of construction completions in recent years, both cities are experiencing a shortage of office space. In both cities, prime rents have risen steadily in the last year, increasing by 13% in Sydney and 6% in Melbourne.   Although ...

Kuala Lumpur is Asia's fastest-growing city for coworking space.

  Kuala Lumpur's versatile workspace center supply increased by 36% in 2018, making it the fastest-growing main city in the APAC area, outpacing Gurugram, Chennai, Brisbane, Hong Kong, Sydney, and Singapore.  studio qatar Despite some of the most expensive markets for office space in the Asia-Pacific region dropping, research by Instant Offices reveals why Kuala Lumpur remains a competitive center of operation for domestic and foreign markets.   Hybrid office space supply increased by 31% in Kuala Lumpur last year, while pure co-working space and serviced offices saw 10% and 7% growth, respectively. The demand is solid, with an average desk rate of RM 886 across the region. The city's demand for space continues to grow, as more companies opt for flexible workspace and corporates over conventional offices. This low-cost, low-risk method of sampling the local market is also being used by international companies.   There are 112 Flexible Workspace Centers. ...

Technology is forcing significant changes in Asia's commercial markets.

  In 2018, APAC real estate funds and institutional investors are expected to lead investment activity.  for sale apartments According to CBRE's 2018 Asia Pacific Real Estate Market Outlook Report, the commercial real estate market in Asia Pacific will be increasingly characterized by evolving business conditions, technological innovation's rising impact, and occupiers' demand for a better user experience. Investors can refine their investment strategies to best take advantage of evolving occupier demands in the area as a result of strong market changes.   "With the age of yield compression coming to an end, income growth is expected to become the primary driver of capital growth. Investors would need to employ strategies that take advantage of rising rental cycles in specific markets while also reinforcing an emphasis on asset management as a means of boosting rental income "CBRE Asia Pacific's Chief Executive Officer, Steve Swerdlow, said.   As a r...

China retains its position as the most appealing manufacturing market in the world.

  According to a new report from Cushman & Wakefield, China has regained first place as the most attractive manufacturing market, reaffirming its position as the sector's powerhouse. Malaysia, which was ranked first last year, is now ranked seventh, behind Lithuania.  qatar real estate   The Manufacturing Risk Index report from Cushman & Wakefield ranks 42 countries based on a variety of risk and cost factors, such as political and economic risk, business conditions, and labor costs, to provide a quantitative assessment of their attractiveness.   Despite cost-sensitive output increasingly shifting to lower-cost countries in the Asia Pacific region, China was ranked first in the baseline index due to its efficient supply chains and infrastructure networks, which continue to provide a stable export platform. Malaysia has dropped to third place as it transitions from a low-cost to a high-value manufacturing center, but the nation remains highly attractiv...