Commercial real estate investment deals hit $16.0b in Q2
This translates to a 17.5% increase from last quarter.
Commercial real estate investment deals in Q2 totalled $16.0b, an increase of 17.5% from the previous quarter.
When including pure land or related transactions, however, total investment volume fell 42.4% YoY, mainly due to the high base of the comparison set in Q2 2021.
According to CBRE, industrial properties received the strongest investment demand amongst sub-markets, with deals totalling $6.97m. The sector accounted for 44% of total quarterly investment volume.
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Offices, on the other hand, contributed the least to the total investment volume for the quarter at 6% or $934m. It also marks the lowest quarterly share of the sub-segment on record.
Looking ahead, CBRE said office capital value will come under pressure on the back of weak leasing demand and limited room for a rental rebound.
In contrast, stabilised shopping malls and hotel blocks will continue to “attract long-term investors as the outlook for inbound tourism gradually improves,” said CBRE.