The sudden moves from near-zero interest rates have induced some distress for overleveraged owners, prompting some tightly held assets to move on to the market. In this context, we continue to see strong structural tailwinds in industrial and logistics, particularly in inner-urban locations where land is scarce and supply is constrained. For these APAC logistics markets, there is exceptionally strong demand, initially from e-commerce requirements, but also increasingly to diversify and strengthen struggling supply chains. We are seeing strong occupancy levels and robust above-inflation rental increases, notwithstanding an unfolding global economic slowdown.
Real estate investors and analysts told Bloomberg Markets where they would look for the best deals in the region this year. Their responses have been edited for length and clarity.
