This detailed outlook report offers research-backed predictions on how Asia-Pacific economies and real estate markets are likely to perform in 2008. While some clouds are seen on the horizon, the overall outlook is positive for the coming year, with the region expected to show resilience to risks and sustain healthy growth rates. Find out what we anticipate for the investment, office, retail, hospitality and residential real estate markets and much more.
Though room-night demand has held up during the current economic upheaval, hotels are generally the first property type to feel the impact of an economic slowdown. Despite uncertainty in the face of the credit crisis, the expectation is that strong supply and demand fundamentals and continued good property level performance will be the primary drivers of value in this market. This briefing examines several trends occurring nationally and worldwide, as the industry tries to reinvent itself to be more competitive and appealing to developers in the long run. Also discussed are the mandates of the Financial Accounting Standards Board (FASB) 141 on business combinations, an important consideration for buyers.
The banking sector has undergone a significant period of instability as banks have been damaged by the credit crisis. Losses linked to exposure to U.S. based sub-prime mortgages have been larger than first envisaged, with some of the largest banks posting billions of Euros of losses, with others yet to report their positions.
The debt market seizure of 2007 brought on by defaults from sub-prime borrowers has had a dramatic impact. This month’s Economic Pulse looks what’s behind the credit crisis, as well as what the short and long-term implications are for the economy and commercial real estate market.
Over the past 25 years an economic relationship has emerged between Taiwan and the People’s Republic China (PRC), and while political relations may swing from calm to rocky, economics is increasingly the dominant issue driving the relationship towards a sustainable rapprochement. Over 63,000 Taiwanese companies operate in the PRC employing around 50 million Chinese nationals – more than double Taiwan’s total population. This paper argues that, politics aside, both Taiwan and the PRC’s economies stand to benefit from closer co-operation and direct links.
The demand for real estate is dependent on the health of the main economy, which in turn can be affected by the financial markets. The recent crisis in the U.S. sub prime and credit markets has raised the question: To what extent will the IMF's forecast of slower economic growth for 2008 affect Asia’s real estate markets?
Foreign direct investment places China third after the United States and the United Kingdom. This report examines the best practices that international investors need to understand in selecting and building operations in China, as well as what location decisions improve a company’s ability to attract talented Chinese employees, efficiently serve major population regions and reduce the cost of setting up and running manufacturing and service operations.
Will Beijing suffer the fate of past host cities or will the Games add to the momentum of this fast-growing city? Many say it is inevitable that the city will suffer an economic slowdown at best and a crash at worst, that is, that the investment required to keep the momentum strong is unsustainable and that all cities crash after hosting an Olympics. But will this hold true for Beijing?
Despite the current uncertainty, Manhattan — which has seen unprecedented rental growth, near historic low vacancies and record leasing and sales pricing — remains fundamentally strong. Against this cautiously optimistic backdrop, this report takes a deeper look at how difficulties in the debt and financial markets may affect the city's office leasing and investment sales markets.
With business costs in Shanghai soaring, international companies are searching for alternative locations for their corporate facilities. Jiaxing, a city less than 100 kilometres southwest of Shanghai, might be the answer. In the last 100 years, the city has been quietly making a name for itself by transforming itself into a regional center of industrial activity.