Tightened supply leads commercial real estate investment to drop 25 percent in H1 2021
In the first half of 2021, the total volume of commercial real estate investment across greater Tokyo declined 25 percent from the same period last year, as supply shrinks, reported Japan Property Central.
According to JLL, the total sales volume recorded at around JPY1.23 trillion (USD11.2 billion), placing Tokyo fourth on the international city ranking list.
JLL’s report includes transactions of offices, hotels, logistics, and other commercial real estates. In the top spot worldwide was Los Angeles with USD12.3 billion in transactions, London coming in second with USD11.9 billion, and Dallas-Fort Worth in third with USD11.6 billion.
Demand for real estate in the capital hasn’t dropped, but the supply of large-scale buildings for purchase has decreased.
There are also reports of corporations selling off their prime assets discreetly behind closed doors, leaving behind international institutional investors.
Additionally, the total transaction volume nationwide fell 29 percent from the first half of 2020 to JPY1.84 trillion (USD16.68 billion).
Acquisitions by foreign funds fell 58 percent to JPY392.3 billion (USD3.5 billion), while total expected sales for 2021 are anticipated to reach JPY4.3 trillion (USD38.98 billion), down six percent from 2020.
Comfort over flash: Bluetown Architects’ holistic approach to architecture
Hangzhou-based Bluetown Architects aims to design properties that are as functional as they are striking
A green office building blossoms in Cebu
A storied Filipino family has forged an exceptionally smart, green office tower in Cebu
6 places to see in Bangkok weekenders’ go-to beach town Hua Hin
The famous Thai beach town is adding some alluring new strings to its bow
Niseko’s property market hits $2.69B in new project transactions
PropertyGuru Asia Property Awards (Greater Niseko) Jury Chair Bill Barnett shares a market review of Niseko’s alpine resort area