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Apac CRE investment falls 19% y-o-y in 2Q2025 but Singapore deal activity rises

The Edge Singapore
The Edge Singapore  • 3 min read
Apac CRE investment falls 19% y-o-y in 2Q2025 but Singapore deal activity rises
MSCI's Asia Pacific Capital Trends notes that Singapore's deal activity in CRE surged 51% y-o-y in 2Q2025 compared to declines of 45% and 46% for Hong Kong and China.
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MSCI's Asia Pacific Capital Trends reports that deal activity in Singapore surged by 51% y-o-y in 2Q2025 to US$1.2 billion, bringing 1H2025 volume to US$2.6 billion, up 3% y-o-y.

Hotels and living sectors were major draws, highlighted by BlackRock's acquisitions of two serviced apartment properties earmarked for conversion into a hotel and co-living development. A Japanese investment bank acquired a stake in 60 Anson, marking its third Singapore deal in the past year.

In contrast, volumes in Hong Kong dropped by 45% y-o-y in 2Q2025 to US$0.9 billion. Deal activity was at its weakest level for a half-year period since the Global Financial Crisis, MSCI's report highlights. The continued absence of capital flows from China, alongside the drag from China's economic slowdown, contributed to a broad-based decline across most sectors.

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