Investment Rating - The report indicates a favorable outlook for the Melbourne CBD office market, with expectations of future rental growth supported by a contraction in development [1]. Core Insights - Melbourne recorded its highest annual net absorption since 2018, with a total of +29,475 sqm in 2025, marking the first positive annual result since 2020 [3][25]. - The vacancy rate in Melbourne's CBD rose to 19.0%, primarily due to the completion of several largely vacant refurbished assets [6][36]. - Prime net face rents increased by 5.2% in 2025, the highest growth in three years, with significant increases in the Eastern Core [11][48]. Demand - Tenant demand accelerated in 2025, with net absorption reaching +29,475 sqm, driven by a flight-to-quality trend where prime net absorption totaled +40,070 sqm [25][28]. - The Professional Services sector was the most active in leasing, accounting for 31% of total deal volume [28]. - Robust lease requirement volumes were noted, with 210 CBD lease briefs released, totaling over 300,000 sqm of active requirements [27]. Supply - The CBD vacancy rate increased due to the reintroduction of major refurbished assets, with the Eastern Core experiencing a rise in vacancy to 18.0% [36]. - Development is expected to slow markedly in 2027, with only two major developments forecasted beyond 2026, leading to a projected fall in supply and upward pressure on vacancy [38]. Rental Growth - Prime net face rents in Melbourne's CBD rose by 5.2% in 2025, with the Eastern Core seeing a 10.4% increase [11][48]. - Despite growth in other precincts, a significant pricing gap remains between the Eastern Core and the broader market, with rents averaging $1,010/sqm in the East compared to $503–$747/sqm in other areas [48]. Investment Market - Investment volumes increased by 33% in 2025, supported by major CBD transactions, with prime yields averaging 6.8% [56]. - The report highlights that as yields stabilize, transaction volumes are expected to continue to rise [56]. Southbank Update - Prime net face rents in Southbank averaged $692/sqm, remaining flat quarter-on-quarter but increasing 2.5% year-on-year [64]. - Southbank recorded a total vacancy rate of 15.0%, outperforming most Melbourne CBD precincts [65].

Core Insights - Bridge Investment Group Holdings Inc. has appointed Dugan Fife as Head of Wealth Solutions and Senior Managing Director, effective January 19, 2026, to enhance its wealth solutions platform [1] - Fife brings over 20 years of experience from Hines Private Wealth Solutions, where he led distribution efforts across key markets [2] - The strategic hire aims to expand access to innovative investment opportunities for private wealth clients, leveraging Bridge's partnership with Apollo, which manages approximately $120 billion in real estate assets [3] Company Overview - Bridge Investment Group is an affiliate of Apollo and operates as a leading alternative investment manager, focusing on specialized asset classes [4]

Core Insights - The article discusses Hines' 2026 real estate investment outlook, emphasizing the growing demand for data centers and its implications for the property market [1] Group 1: Real Estate Investment Outlook - Hines anticipates a robust real estate investment landscape by 2026, driven by various market dynamics [1] - The firm highlights the increasing importance of technology and data centers in shaping future real estate investments [1] Group 2: Impact of Data Center Demand - The demand for data centers is expected to significantly influence property values and investment strategies in the coming years [1] - Hines' analysis suggests that the rise in digital infrastructure needs will create new opportunities within the real estate sector [1]

Group 1 - INVL Partner Global Real Estate Fund I has raised an additional USD 1.85 million from investors, bringing the total raised to USD 15.39 million from 51 investors in the Baltic States [1][3] - The fund targets investors seeking diversification in the U.S. real estate market, highlighting the successful completion of its fifth placement round [2] - The fund's portfolio includes investments in real estate funds managed by Brookfield Asset Management and will soon include a fund managed by Hines, both of which are prominent players in the real estate sector [4] Group 2 - Brookfield Asset Management manages over USD 1 trillion in assets, with approximately USD 270 billion in real estate, ranking third globally in real estate assets under management [5] - The fund aims to increase capital value over the long term while providing periodic income to investors [6] - INVL Asset Management is recognized as the leading Baltic alternative asset manager, managing over EUR 2 billion across various asset classes [7]

Group 1: International Capital Confidence in Hong Kong - International investors are reassessing asset risk and adjusting strategies, with Hong Kong emerging as a safe haven for capital [3] - Hong Kong has seen significant fundraising from major new stocks this year, attracting cornerstone investors from the West and the Middle East [3] - The total bank deposits in Hong Kong have increased by over 10% this year, surpassing 19 trillion HKD, indicating strong confidence in the market [3] Group 2: Economic Resilience Beyond Finance - Hong Kong's shipping and trade sectors are demonstrating strong resilience, with a 11.3% year-on-year increase in goods exports over the first three quarters [4] - The Hong Kong government is actively promoting the advantages of its shipping industry, including strategic partnerships with ports in the Belt and Road regions [4] Group 3: Recovery of the Exhibition Industry - The recent hosting of the International Exhibition Association's global annual meeting in Hong Kong highlights the city's recognition as an international exhibition hub [5] - Hong Kong's connectivity and favorable business environment support its exhibition industry, with over 1,100 flights daily to more than 200 destinations [5] Group 4: International Private Equity Expansion - Adams Street, a leading global private equity firm, has opened a new office in Hong Kong, marking its sixth office in Asia and indicating a strategic focus on the Chinese market [6][7] - Ardian, another prominent investment firm, has also established a Hong Kong office, enhancing its penetration into the Chinese market [9] Group 5: Return of Dollar Funds to China - The return of dollar funds to China is driven by a restructuring of global asset valuations, with international capital focusing on sectors like technology and high-end manufacturing [10] - The recent fundraising activities of dollar funds indicate a renewed interest in the Chinese market, with significant participation from international investors [10] Group 6: Increased Competition Among Chinese Securities Firms - Chinese securities firms are intensifying their presence in Hong Kong, with several firms announcing the establishment of subsidiaries and significant capital increases [11] - The total capital increase by Chinese securities firms in Hong Kong has exceeded 5 billion HKD since 2025, reflecting their strategic focus on market opportunities [11][12] - The demand for IPO sponsorship, cross-border mergers, and wealth management services is driving the expansion of Chinese firms in Hong Kong [12]

Expansion Strategy - Hines 计划明年扩张到沙特阿拉伯 [1] Industry Focus - 房地产巨头 Hines 计划扩张 [1]

Real Estate & Space Industry Trends - Data centers are a rapidly growing sector in real estate, driven by AI, cloud computing, and online activities, but their high energy consumption poses a challenge [1] - Private capital is flowing into the space industry, with new companies emerging to serve various aspects of the sector from both public and private perspectives [3] - The space industry is experiencing a revolution, with companies seeking to monetize space through manufacturing and serving as a base for further space exploration, including potential data center production on the moon [6] - Space offers unlimited power from the sun, unlimited cooling from the vacuum, and unlimited real estate, potentially unlocking constraints faced on Earth and providing clean energy [9] - The current economic environment presents challenges for global development, with stagflation, higher rates, and slower growth making it difficult for developers to make projects financially viable [19][20] Technological Advancements & Infrastructure - Reusable rocket technology is advancing, with potential for 1,000 tons of launch capability, moving towards a million tons per year [32] - Robotics are becoming increasingly advanced and advantageous in the lunar environment due to the challenges of sustaining human life in space [31] - Ethos is developing technology to utilize lunar geological resources, such as anorthosite, to create building materials like synthetic igneous rock, which is twice as strong as concrete, for constructing landing pads, roads, and foundations on the moon [26][27][28][29] Energy & Power Consumption - Data centers are projected to consume a significant portion of US power generation, potentially reaching 40% by 2030, highlighting a serious infrastructure problem [42] - China has a significantly larger installed power base than the US and is investing heavily in solar energy, necessitating the exploration of new, non-Earth-bound power generation methods [44] - The cost of solar energy is declining rapidly, and nuclear energy is gaining traction, suggesting that energy problems will be solved, but the demand for power is infinite [47] Investment & Future Outlook - Capital is seeking great opportunities and returns, with space emerging as a promising area for investment [21] - Infrastructure investments require a long-term perspective, considering future disruptors and their potential interplay with the current world [14] - The space industry is in its early stages, similar to the railroad era, representing a major investment opportunity and creating new "rails" for the future [17]

Emerging Market - Real estate industry is exploring lunar data centers as a new investment frontier [1] - Hines, a real estate investment firm, views lunar development as similar to the early days of railroads, creating new infrastructure in orbit [2][3] - Ethos is planning lunar construction sites to build data centers [4] Investment & Development - Hines acquired a nearly 250,000 square foot (approximately 23,226 square meters) industrial property in Florida's Space Coast to support space construction [4] - The development includes landing pads, roads, and foundations for data centers [4] Technological Advantage - Lunar data centers offer the advantage of natural cooling and solar power [5]

Meanwhile, data centers, as you heard at the beginning of the show, this is the hottest sector in real estate right now. They also literally run hot, consuming more energy than a lot of local grids can handle. So, seriously, what if you put them in outer space.I think we've heard Elon Musk talk about this, but Diana Olick is here to truly explain. Yeah, and I know, Kelly, it sounds nuts, right. It does.Look, but this is one of the next great plays in real estate, lunar construction and development of data c ...

Real Estate Investment & Development - Hines' global chief investment officer compares space real estate to the early days of railroads, suggesting significant development opportunities around new "rails" in orbit [1][2] - Hines acquired the Titusville Logistics Center, a nearly 250,000 square foot industrial property in Florida's Space Coast, indicating investment in infrastructure supporting space-related activities [3] - The industry believes capital is available for space-related ventures, seeking great opportunities and returns [3][4] Space-Based Data Centers - Companies are exploring building data centers on the moon to address energy consumption challenges [4] - Space-based data centers can leverage solar power year-round and eliminate the need for cooling, a major energy drain on Earth [6][7][9] - Data transmission from space is considered viable, mirroring existing data center operations [7] - Construction on the moon would be primarily robotic, minimizing the need for human presence [7] Competition & Challenges - A race with China exists in developing space-based infrastructure [8] - Unresolved questions remain regarding zoning and ownership of celestial bodies [8]