According to CBRE Group Inc's "2026 Asia Pacific Investor Intentions Survey," driven by improving corporate tenant fundamentals, reduced supply, and a gradually easing financing environment, investors in the Asia Pacific region are preparing to deploy more capital into the commercial real estate market in 2026. After failing to make the top ten list of cross-border investment destinations last year, Hong Kong has returned to the rankings this year, securing the fifth position. Furthermore, the office sector has become the most favored investment category for the first time in six years. The survey indicates that buying intentions across most Asia Pacific markets have improved further compared to last year, with over 57% of respondents expressing a desire to acquire more real estate in 2026.

Henry Chin, Head of Capital Markets, Hong Kong at CBRE, stated that the outlook for 2026 clearly signals a shift towards renewed growth, with investors moving away from the defensive strategies that dominated recent years. Overall net buying intentions have improved comprehensively, with investors from both Mainland China and the Hong Kong Special Administrative Region showing stronger capital deployment appetites and an increasing focus on assets capable of sustaining rental growth, particularly in markets with limited supply. In 2025, Mainland investors demonstrated a significant rise in interest for the living sectors and hotel assets, with numerous transactions involving the conversion of hotels into student accommodation to meet growing demand, a trend expected to continue into 2026.

The office sector has become the most popular investment category for the first time in six years, followed closely by the industrial & logistics and living sectors, which round out the top three preferences in the Asia Pacific region. Owner-occupier buyers from Greater China have become more active in acquiring office assets, especially those located in Hong Kong. Simultaneously, investors continue to expand their footprint in living sector assets, including mainstream "Build-to-Rent" and "Build-to-Sell" models. The student housing sector continues to perform strongly, particularly in markets like Australia and Hong Kong, China, where demand persistently outstrips supply.

Ada Choi, Head of Asia Pacific Research at CBRE, commented, "The most notable aspect for 2026 is the selectivity within the recovery process. Investors are concentrating on markets with clearer pricing, more resilient operational requirements, and a gradually improving financing environment. This combination is fostering a moderate recovery in confidence and increasing investors' willingness to deploy capital into high-quality assets with stable income streams." The survey reveals that REITs, institutional investors, and large funds are expected to be more active in 2026, continuing the warming trend observed in 2025. Conversely, private investors and developers are likely to turn into net sellers as they seek to recycle capital and dispose of assets acquired earlier during the price adjustment phase.

The primary challenges identified by investors are: 1) Rising labor and construction costs have become the top challenge for the first time since the survey began. 2) Ongoing geopolitical tensions remain a key concern, particularly in the Mainland China and India markets. 3) Interest rate risks have re-emerged, especially in Japan and Australia, driven by recent signals from central banks.