National News
With approximately $1.5 billion worth of Asian capital actively pursuing Australian investments, particularly Japanese investors, it’s safe to say the Australian real estate market will continue to be a big focus into the coming years. Colliers Asia Markets Director Tony Wang said Australia remained in the global top five for cross-border capital destinations in 2024. “Japanese capital leads residential and build-to-rent investments in Australia, while a resurgence of capital from Hong Kong, China, and Singapore is taking advantage of the industrial, retail and office markets. “These sectors offer a stable and substantial yield spread, making them the most significant draw for APAC investors,” Tony Wang said. The Colliers Asia Markets team transacted $256 million in Q1 2024 across 19 deals, with residential development sites standing out, with an impressive $160 million in sales, highlighting the growing trend of offshore Asian investment in this segment. A further $68,010,265 was transacted in Q2 2024, taking the total of Colliers Asia Market team transactions in the first half of the year to $324,673,265. Looking ahead, there is immense potential, last year Japanese investment reached a record $2 billion, reflecting a deepening engagement driven by Australia’s housing dynamics with a demand and supply imbalance. Colliers Investment Services Senior Executive Shaun Seeto said that underscoring the interest and confidence of overseas investors in Australia’s real estate sector, Asian investment into Australia continued to grow. “Asian investment represents about 15 per cent of investment into Australia,” Shaun Seeto said. “However, we are seeing a trend where Asian investors are becoming more educated on the Australian market and they are making more informed and strategic decisions focused on generational wealth rather than fast returns.” Colliers National Director Investment Services Hunter Higgins travelled on an Asian roadshow over 6 days in June where Colliers Australian experts, in partnership with local experts in Tokyo, Shanghai, Guangzhou, and Hong Kong, met with a broad range of institutional and private investors interested in investing in the Australian market. “We showcased a portfolio of properties with a combined total value of over $630 million, covering a range of asset classes including office, retail, industrial, and residential developments,” Hunter Higgins said. “As Brisbane will be the home of the 2032 summer Olympic and Paralympic Games, there was significant interest in assets located in this region, we uncovered maiden capital with their sights set on the SEQ property market. “We shared our latest SEQ market intelligence and presented exclusive development and investment opportunities in front of 140 active off-shore Asian groups, predominately sovereign pension funds, corporations and private family offices who have shown strong interest in investing in Australia.” With Asian capital actively pursuing Australian investments, now is the time to reach out to learn how we can assist you or how to include your property in the next Asia roadshow. ASIAN CAPITAL TO CONTINUE TO FLOW INTO AUSTRALIAN PROPERTY MARKET By Colliers experts Hunter Higgins, Tony Wang and Shaun Seeto
Hunter Higgins National Director Investment Services +61 406 997 936
Tony Wang Director Asia Markets +61 439 577 777
Shaun Seeto Senior Executive Investment Services +61 436 033 704
14 – August / September 2024
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