Kuala Lumpur, 21 June 2021 ASEAN’s real estate sector is likely to see a pick-up in new openings and occupier demand for leases in the second half of 2021 as economic activity rebounds and leasing demand returns, according to speakers at Maybank Kim Eng’s Invest ASEAN 2021 webinar, ASEAN Real Estate: Path to Recovery, yesterday.
In the new era of hybrid work/shop model accelerated by the COVID-19 pandemic, user experience and wellness will drive demand for high quality buildings that feature flexible space, sustainability and technology.
Chua Su Tye, Head of Regional REITs Research, Maybank Kim Eng said: “ASEAN real estate is returning to growth, with the surge in investment activity gaining traction on the back of the macro upturn. The trajectory remains uneven, as the effectiveness of domestic policies and pandemic containment measures will determine the course across geographies.”
Ada Choi, Head of Occupier Research, APAC and Head of Data Intelligence and Management, APAC at CBRE Research said: “Investment enquiries for real estate assets are starting to gain momentum again, with investors in Singapore, Hong Kong and Australia in particular showing bigger risk appetites. We project that investment volumes for commercial real estate in Asia Pacific may rise by 10% this year, although still below pre-COVID levels. Logistics assets remain popular with the rise in e-commerce growth, while interest in offices and hotels are rising.”
According to CBRE Research, Grade A office rental in Kuala Lumpur is expected to remain in a downward cycle, although this downturn is foreseen to be relatively limited. Ample incoming supply forecast in 2H 2021 will exert pressure that could further dampen recovery.
Invest ASEAN 2021, Maybank Kim Eng’s flagship annual investor conference, kicked off on 3 June and will run for three months until August. With the theme ASEAN Rising: The Next Decade, this year’s conference seeks to bring together thought leaders, industry experts, corporates and global investors through a combination of one-on-one interviews and panel discussions for an in-depth look into the ASEAN region and its future.
Thematic webinars will be interspersed with country-focused, exclusive corporate access events, which run over a week and showcase a wide range of both listed and unlisted companies from Malaysia, Singapore, Thailand, Indonesia, the Philippines and Vietnam.
Since 2014, the conference has been a must-attend event for investors and corporate leaders around the world. Last year, despite the global pandemic, Invest ASEAN 2020 attracted over 1,000 participants at 206 virtual meetings. The event successfully connected more than 70 ASEAN corporates with a total market capitalisation of USD265.7 billion to local and global investors.
Follow Maybank Kim Eng on LinkedIn and subscribe to our ASEAN Speaks podcast on Spotify, Google Podcast or Apple Podcasts to get the latest insights. Access key takeaways of Invest ASEAN 2021 post-session via the hashtag #InvestASEAN on LinkedIn.
