Strong performances in the major Asia Pacific real estate markets are driven mainly by investor demand for commercial and industrial assets. Download Colliers' Asia Pacific Market Snapshot for Q2 2022 here.

While the industrial sector saw the most movement in cap rates last quarter, yields stayed relatively flat across Asia Pacific, shadowed by a rising interest rate environment.

Despite the slowdown of economic activities in Hong Kong in H1 2022, the market still witnessed solid demand from third-party logistics players (3PLs), while the market saw healthy demand from the electrical and frozen food/beverage sector.

Retailers faced a rocky start to 2022 as most remained cautious with the outbreak of the fifth wave and subsequent social distancing rules. Looking ahead, the retail sentiment will likely recover and regain momentum in H2 2022 thanks to the upcoming consumption voucher and the likelihood of shortening of quarantine for incoming travellers.