Core Insights - The commercial real estate investment in the Asia-Pacific region reached $39.5 billion in Q3, marking a 2% year-on-year increase and a significant 26% quarter-on-quarter rise [1] - Year-to-date total investment amounts to $106.6 billion, an 11% increase compared to the same period last year [1] - The market is experiencing a slow recovery amid fluctuating interest rates and ongoing geopolitical risks [1] Investment Performance by Sector - In Hong Kong, commercial real estate investment totaled approximately $1.2 billion in Q3, a 10% year-on-year decline, but cumulative transactions for the year reached $3.7 billion, an 18% increase [1] - Office assets in Hong Kong showed strong performance with Q3 transactions of about $460 million and year-to-date totals of approximately $1.8 billion, primarily driven by owner-occupier purchases [1] - Retail properties in Hong Kong recorded Q3 transactions of about $330 million, with year-to-date totals reaching $780 million [1] Market Trends and Investor Behavior - High returns and signs of stabilization in retail sales attracted long-term investors back to the market in Q3, although transactions were mainly dominated by local private investors [1] - In the industrial and logistics sector, Hong Kong's Q3 transactions amounted to approximately $230 million, with year-to-date totals of about $530 million [2] - The largest transaction in Q3 was the purchase of an industrial project by Jianhua Group for $95 million [2] Regional Highlights - India recorded a remarkable Q3 performance with $2.6 billion in transactions, a 511% year-on-year increase, and year-to-date totals of $4.7 billion, up 131% [2] - Japan led the Asia-Pacific commercial real estate market with Q3 investments of $10.3 billion, a 23% year-on-year increase, contributing to a year-to-date total of $31.6 billion [2] Cross-Border Investment Trends - Cross-border investment reached a historical high of $12 billion in Q3, a 60% year-on-year increase, with year-to-date totals rising 88% to $27.3 billion [3] - The residential market showed strong growth with Q3 transactions surging 304% to $5 billion, leading to a year-to-date total of $11 billion, up 137% [3] Private Wealth Investment - Private wealth investments increased by 35% year-on-year to $6 billion in Q3, with year-to-date totals rising 14% to $15.9 billion [4] - Australia and Japan accounted for nearly half of private wealth investment transactions, with Australia representing 26% and Japan slightly over 20% [4] - The participation of family offices in Australia has significantly increased, now accounting for 42% of national investors, up from 10% in 2020 [4]

Group 1: Residential Market - The Central Plains CSI (Residential Price Index) reported 50.78 points, down 1.46 points from last week’s 52.24, indicating a decline for two consecutive weeks totaling 1.54 points, yet remaining above the 50-point threshold, suggesting short-term price stabilization without signs of decline [1] - The Central Plains CSI (Residential Rent Index) reported 57.63 points, down 0.04 points week-on-week, marking a total decline of 0.29 points over three weeks, but still above the 50-point level, indicating sustained high rental prices with potential for further increases during the summer leasing peak [1] Group 2: Commercial Market - The Central Plains CSI (Shop Price Index) reported 42.03 points, up 1.26 points week-on-week, while the Central Plains CSI (Shop Rent Index) reported 41.3 points, up 0.67 points, indicating stability in the shop sales and rental market without signs of recovery [1] - The Central Plains CSI (Industrial Price Index) reported 41.43 points, up 6.14 points week-on-week, and the Central Plains CSI (Industrial Rent Index) reported 44.93 points, up 5.8 points, suggesting a slight improvement in the industrial property market, although concerns remain due to the government's recent decision to halt bidding for modern multi-storey industrial land in Yuen Long and Hung Shui Kiu [2] - The Central Plains CSI (Office Price Index) reported 28.50 points, down 1.19 points week-on-week, and the Central Plains CSI (Office Rent Index) also reported 28.5 points, down 1.19 points, indicating a continued downward trend in the office market, although a new initiative encouraging the conversion of commercial buildings into student dormitories may provide long-term support [2]