Feb 05, 2026

Summary:

The APAC real estate market is expected to grow significantly in 2025-2026, with total investments reaching USD 201 billion, a 13.7% increase. Retail remains strong, especially in emerging cities like Hanoi and prime malls in Malaysia. Australia’s industrial sector is shifting towards new developments, supported by a solid pipeline. Japan’s office market is tight, leading to strong investment and rental growth. Taiwan is expanding its hospitality sector with 26 new international hotels planned. Singapore’s housing market is stable, office vacancies are declining, and new public housing (BTO flats) is launching after decades. The Philippines is seeing rapid industrial warehouse growth. Notably, Singapore’s healthcare real estate is seeing rising rents, and a new $8.2 billion Singapore office property fund has been launched by Hongkong Land.

Good Opportunities to Consider:

1. Retail in Emerging APAC Cities:

   Invest in retail properties or retail-focused REITs in growing markets like Hanoi and Malaysia’s prime malls where retail demand remains robust.

2. Industrial Real Estate in Australia and the Philippines:

   Target industrial warehouses and logistics centers, capitalizing on Australia’s new builds and the Philippines’ expanding warehouse stock.

3. Office Properties in Japan and Singapore:

   With tight supply and rising rents, office assets in these mature markets offer potential for capital appreciation and steady income.

4. Hospitality Sector in Taiwan:

   The addition of thousands of hotel rooms indicates growth potential; hotel developments or hospitality REITs are attractive options.

5. Singapore Residential Market – BTO Flats:

   New government-subsidized flats in Upper Thomson provide good entry points for stable residential investment or homeownership.

6. Singapore Office Fund (SCPREF):

   Hongkong Land’s $8.2 billion fund offers passive exposure to Singapore’s commercial office market, backed by major institutional investors.

7. Healthcare Real Estate in Singapore:

   Rising rents in healthcare facilities suggest strong demand; healthcare REITs like Parkway Life could provide reliable income streams.

Expert Advice:

To capitalize on APAC’s growth, diversify across sectors and countries. Focus on retail in emerging cities, industrial logistics in Australia and the Philippines, and office spaces in Japan and Singapore where supply constraints drive rental growth. Consider hospitality investments in Taiwan and stable residential projects in Singapore. Leveraging professionally managed funds like SCPREF can reduce entry barriers and risk. Additionally, healthcare real estate in Singapore stands out as a resilient income-generating sector. Overall, a balanced portfolio across these identified sectors and regions will position investors to benefit from the strong market fundamentals projected for 2025-2026.

Stay Well!