Market Outlook

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

Asia Pacific Economy

Outlook bright but headwinds grow

The region’s economy remains resilient in the face of new challenges with 2017’s momentum carrying on. Economic sentiment is favourable with data releases pointing to a continued healthy performance despite equity market instability and ramping up of protectionist rhetoric. 

Although trade tensions have dominated headlines in the early part of the year, as the US looks to impose new tariffs on imports, most economists still believe that the probability of a full-blown trad war is low at this time.