The COVID-19 outbreak is likely to compel many investors to moderate their purchasing this year, according to CBRE’s Asia Pacific Investor Intentions Survey 2020. However, the survey - which focuses on the forward-looking views of real estate investors in Asia Pacific – found that investors displayed a healthy investment appetite overall, with over 75% stating that they plan to be more or as active in 2020 as they were in 2019.
Stable income stream and higher yield spread were identified as the key motivations to invest in real estate. Investors displayed a higher preference for prime core assets, while value-added strategy continued to be pursued by investors focusing on obtaining higher returns.
Offices remained the most preferred assets, while interest in logistics strengthened further amid the structural shift towards online shopping. Investors also displayed stronger interest in alternative sectors, particularly data centres and cold storage.
Tokyo regained its status as the most preferred city in Asia Pacific for cross-border investment, while Beijing ranked in the top three for the first time.