Hong Kong, 26 Oct 2018 – Colliers International (NASDAQ: CIGI; TSX: CIGI), a global leader in commercial real estate services today released its Asia Market Snapshot Q3 2018 report with a detailed overview of all property segments’ performance across 15 Asian markets during the third quarter of 2018.

Terence Tang, Managing Director of Capital Markets and Investment Services at Colliers International, Asia, commented: “Market sentiment has become more cautious in some key markets due to more adverse economic and policy conditions. In Hong Kong, policymakers recently raised the key lending rate; Singapore has introduced more cooling measures targeting the residential sector; and authorities in Beijing unveiled new policies during the quarter tightening development restrictions in core areas. Nonetheless, we expect developers and investors to remain cautious overall rather than retreat from the market completely.”

“From regulatory changes that promise to pave the way for further investment in the retail sector in Myanmar and the Philippines, to planned mega mixed-use developments in Thailand and the opening of the Guangzhou-Shenzhen-Hong Kong Express Rail Link in the Pearl River Delta, there is a steady pipeline of opportunities emerging that will continue to draw interest even in a more challenging regional climate,” Mr. Tang added. 

Move over residential: investors shift focus to commercial, industrial 
While the outlook for residential projects in markets like Hong Kong and Singapore is growing less optimistic, the industrial and commercial sectors remain supported by a range of positive factors. In Hong Kong supply remains tight and a government revitalisation scheme is expected to boost appetite for conversion and redevelopment projects. Meanwhile in Singapore industrial acquisitions and divestments are likely to gain pace as industrial REITs move to shore up their positions, especially in specialised properties like data centres and ramp-up logistics facilities. 

Gangnam still in style 
Transaction prices in Seoul’s highly sought-after Gangnam business district show few signs of flagging, thanks to a tight leasing market and a relatively short supply of investment opportunities. Recent deals include the acquisition of the Samsung C&T Building by a consortium of Koramco REITs and NH Securities for KRW748 billion (USD696 million), which set a unit price record for South Korean commercial property. 

Japan continues to draw investors
Market sentiment remains cautiously optimistic due to the central bank’s near zero interest rate policy. A wider yield gap, relative to other markets, should continue to attract more investors from the US, Hong Kong, and Singapore. Moving forward, the focus will continue to be on Tokyo’s office market. Lower than expected supply growth, coupled with larger than expected withdrawals for redevelopment, have contributed to the sector’s recovery.  

Retail resurgence in Myanmar, Philippines 
Recent moves by the government to open Myanmar’s retail industry further to foreign investors will bring a promising and largely untapped sector into the spotlight. The retail market remains one of the strongest in Yangon, with around 90% occupancy and steadily rising lease rates. Given the city’s relative shortage of large-scale shopping and lifestyle venues, new destination retail establishments with recreation and entertainment features are likely to meet with robust local demand. A move by authorities in the Philippines to ease the minimum capital requirements for foreign retail investments should also encourage more players to enter the previously locally-dominated F&B and home furnishing sectors.  

To download the full report, visit here


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Colliers International Group Inc. (NASDAQ: CIGI) (TSX: CIGI) is a top tier global real estate services and investment management company operating in 69 countries with a workforce of more than 12,000 professionals. Colliers is the fastest-growing publicly listed global real estate services and investment management company, with 2017 corporate revenues of $2.3 billion ($2.7 billion including affiliates). With an enterprising culture and significant employee ownership and control, Colliers professionals provide a full range of services to real estate occupiers, owners and investors worldwide, and through its investment management services platform, has more than $20 billion of assets under management from the world’s most respected institutional real estate investors. 

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For further information, please contact:

Michelle Shao 
Marketing Communications | Asia 
Colliers International 
Phone: (852) 2822 0541
Email: michelle.shao@colliers.com