Proptech/Innovation

In this report, we examine:

• The top 10 established and upcoming technology submarkets within major APAC cities, including key and upcoming key tech subsectors, and workplace and real estate considerations in each submarket
• The rapid growth of Chinese tech firms as a major new class of owner-occupier
• Opportunities and strategy recommendations for technology occupiers planning for expansion
• Opportunities for property owners and investors beyond rental growth

• The top five technology centres in APAC are Beijing, Shanghai, Bengaluru, Shenzhen and Singapore. Other cities are developing strengths in specific areas of technology, e.g., Seoul and Hong Kong in fintech, while in Hyderabad and Sydney are emerging
• Among upcoming Indian submarkets, Colliers highlights Whitefield and North Bengaluru in Bengaluru, Peripheral Business District in Hyderabad, and Noida Expressway and Golf Course Extension Road (Gurguram) in Delhi NCR, among others.
• In APAC, technology occupiers should account for 20%-25% of office leasing demand in the next five years. Our research identifies the most attractive technology submarkets across APAC to help occupiers plan their expansion
• The emergence of technology groups as large owner-occupiers creates a new source of capital for investors planning asset disposals, as well as new opportunities for joint ventures and partnerships for developers.

Customer expectations, advancing technology and a burgeoning build-to-rent sector are encouraging the best residential landlords to boost their “digital kerb appeal”, says Yardi's Paul Yount.

Yount, Yardi’s industry principal and product manager for RENTCafé, says renters no longer expect to spend their Saturdays pounding the pavement or filling in dozens of rental application forms.

• Savills Tech Cities are important centres for tech in their region and venture capital (VC) investment hotspots. Vibrant cities in which to live and work, they are magnets for talent.
• Wellness matters more than ever to both tech talent and business occupiers. Our Tech Lifestyle Cities have an edge here, with better air quality, access to greenspace and smaller footprints. Savills Digital Nomad Essentials Index highlights some of the factors that count to talent today.
• In spite of 2020’s upheavals, the Tech Megacities continue to dominate VC investment, led by Beijing and San Francisco. Singapore has received a boost, benefiting in part from the US-China trade war.
• A new raft of Rising Global Tech Contender cities are emerging, ranging from Detroit to Yokohama. Growth is fuelled by technological advances, government initiatives and cost advantages.
• While many tech companies have adopted work from home strategies in the wake of the pandemic, their city centre offices and campuses, in which they have invested heavily, will remain important as places for staff to collaborate, to instil company culture, and to attract the best and brightest.
• Out of town tech campuses have taken on a fresh relevance in a time of social distancing and newfound focus on health and wellbeing. We explore five examples with wellness at their core