Feb 28, 2026

Summary of Real Estate Market Updates (Asia Pacific & Singapore) – February 2026

• Asia Pacific Overview:
• Future commercial real estate in APAC is shaped by flexible designs, AI integration, personalization, and human-centric spaces.
• Data centres are rapidly expanding, highlighted by ESR’s new 60 MW facility in Mumbai, signaling strong growth in data infrastructure.
• Prime retail and office assets remain attractive, with transactions like MPM Plaza in Hong Kong and Salesforce Tower stake in Sydney.
• Thailand’s market is becoming more selective, especially in hospitality, industrial, and office sectors, requiring careful risk-reward balancing.
• Vietnam’s commercial real estate M&A surged by 15% in 2025, indicating a hot investment climate.
• Luxury residential developments are growing, with projects in Phuket (beachfront wellness homes) and Brisbane (apartment investments).

• Capital markets activity is increasing, evidenced by Savills expanding its advisory teams.

• Singapore Market Highlights:

• UOL Group saw strong 2025 development revenue growth but expects 2026 to be complex.
• Frasers Property consolidated a key retail asset on Orchard Road.
• Residential rents rose notably in District 19, with vacancy rates improving overall.
• Industrial property opportunities exist, such as a high-spec facility in Tuas available for immediate occupation.
• Large-scale development tenders, like the multi-storey driving centre near Yew Tee MRT, indicate infrastructure growth.
• REIT activity is strong, with acquisitions and IPOs in commercial retail sectors.
• Collective sales like Serenity Park offer freehold redevelopment potential.
• Real estate agencies achieved record performance, showing market resilience.
• Fractional ownership models are emerging but carry risks.

Recommended Investment Opportunities

1. Data Centres in India and APAC:

   Invest or partner in hyperscale data centres, especially in India, to capitalize on surging cloud and digital infrastructure demand.

2. Prime Retail and Office Assets in Key APAC Cities:

   Target high-quality commercial properties in stable urban markets like Hong Kong, Sydney, and Singapore for long-term value and income.

3. Selective Investments in Thailand:

   Focus on hospitality, industrial logistics, and office sectors with strong fundamentals and adaptability due to increasing market differentiation.

4. Singapore Industrial Facilities (Tuas):

   Acquire ready-to-occupy, high-spec industrial properties to benefit from Singapore’s growing logistics and industrial sector.

5. Collective Sale Land Banking in Singapore:

   Pursue freehold redevelopment sites such as Serenity Park for long-term capital appreciation in mature estates.

6. Luxury Residential Projects in APAC:

   Consider luxury and wellness-oriented residential developments in Phuket and Brisbane for growth and rental yield potential.

7. REITs with Strategic Expansion:

   Invest in well-managed REITs like Lendlease and UI Boustead that are actively acquiring and consolidating commercial and retail portfolios.

Expert Advice:

Focus your investments on resilient and expanding sectors such as data centres, prime commercial assets, and industrial properties in Singapore. Approach markets with emerging complexity, like parts of Thailand and Singapore residential segments, cautiously and selectively. Utilize collective sales opportunities and REIT expansions as strategic entry points to benefit from market growth and diversification.

Stay Well!