Real Estate Investors Look To The Office Industry
The Colliers’ Global Capital Markets 2021 Investor Outlook shows that Asia-Pacific real estate investors will be putting money into offices above other markets this year.
The survey found that more than half of respondents in Sydney and Melbourne and 42% of Singapore respondents see offices as a promising new year investment opportunity.
“In this uncertain environment, investors will prefer to invest capital on lower-risk opportunities,” said Terence Tang, General Manager at Colliers. “Tier 1 city offices remain the capital of choice.”
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Although remote working became mainstream last year due to the pandemic, these areas offer “more stable investments with less volatile income returns,” according to Tang.
Tang added that offices with long leases and reliable tenants can remain stable in the unpredictable global economy.
While some claimed the office was dead, Tang believes the office industry still holds promise and is necessary to continue promoting collaboration opportunities.