Market Outlook

Robust consumption demand and flourishing online-to-offline (O2O) retailing, together with data-driven technologies, are reshaping the landscape of China’s logistics industry. The emerging front distribution centres (FDCs) and mini-FDCs, including cold chains, are placed much closer to customers by retailers seeking to boost efficient fulfilment of orders.

Sentiment continues to signal soft landing despite heightened uncertainty

• Respondents highlighting economic uncertainty as a catalyst for more cautious outlook, but still broadly see an expansion in rents and capital values over the next twelve months.
• Trade concerns weigh on markets in East Asia, though some Southeast Asian markets such as Vietnam seen as beneficiaries.

Data from the Asia Pacific Commercial Property Monitor suggests that several regional markets are entering a period of slower growth. The pickup…

Sentiment continues to signal soft landing despite heightened uncertainty

• Respondents highlighting economic uncertainty as a catalyst for more cautious outlook, but still broadly see an expansion in rents and capital values over the next twelve months.
• Trade concerns weigh on markets in East Asia, though some Southeast Asian markets such as Vietnam seen as beneficiaries.

Data from the Asia Pacific Commercial Property Monitor suggests that several regional markets are entering a period of slower growth. The pickup in momentum experienced during Q1 appears to have been short-lived, as sentiment is generally subdued in Q2 amid mounting downside economic risks. However, markets continue to be positioned for a soft landing, as rents and capital values are still expected to increase over the coming year (Chart 2).

This Toolkit provides practitioners with a shortcut to prominent and respected resources as industry professionals should form their own opinions about the specific reporting practices that help meet their legal obligations and broader community responsibilities.

In Q1 2019, we saw net absorption pick up slightly QOQ, although it still declined 82% YOY due to a subdued economy.

During Q1 2019, market demand dropped 40% QOQ in West China. Both Chengdu and Chongqing will probably face the challenge of growing vacancy rates in 2019.

Shanghai’s office market should see softer demand from subdued economic growth. In 2019, 1.98 million sq m of new supply is planned to be completed in the DBD.

The Indian residential market derives its significance from a large population base and huge unmet housing needs across various urban centres. The urban housing shortage has been estimated at 10 million units by the National Housing Bank. Translation of housing need to demand depends on the following factors:

The Indian residential market derives its significance from a large population base and huge unmet housing needs across various urban centres. The urban housing shortage has been estimated at 10 million units by the National Housing Bank. Translation of housing need to demand depends on the following factors:

1. Affordable Pricing
2. Stable economy coupled with improving sentiment particularly with respect to job creation
3. Buyer’s confidence in terms of project delivery which includes timelines, amenities, etc.

This report has delved into the first aspect of affordability across the top seven cities in India – Mumbai, Delhi NCR, Bengaluru, Chennai, Pune, Hyderabad and Kolkata

After a record-shattering level of VC investment in 2018, the VC market globally got off to a relatively weak start in Q1’19, particularly in China. The US continued to see very strong VC investment, including a $5 billion investment from SoftBank into The We Company (formerly WeWork) and a $1 billion raise by freight logistics company Flexport.

What’s next for Melbourne CBD?

Double digit rent growth continues. Click on the Download button for more information on:

• Economic indicators
• Prime Net Effective Rent, Overall Vacancy (6 monthly)
• Supply Pipeline: New Developments & Major Refurbs
• Key leasing transactions Q1 2019

While Singapore’s overall economy grew at a slower pace of 1.9% y-o-y in 4Q2018, the office-using sectors expanded at a faster rate. The finance & insurance sector grew 4.1% y-o-y, and the information & communications sector expanded by 6.1% y-o-y. This led to office-using employment increasing by 6,500 workers during the quarter.

Rental Growth to be Sustained. Click on the Download button for more information on the:

• Economic indicators
• Grade A CBD Rent & Vacancy Rate 
• Grade A CBD Supply Pipeline
• Key leasing transactions Q1 2019