New Delhi, October 29 (IANS). Commercial real estate investment in the Asia-Pacific region reached an all-time high of $63.8 billion in the third quarter of 2025, an increase of 56.8 percent compared to the same period last year. This information was given in a report on Wednesday.
Moreover, the increase in activity also almost doubled the amount recorded in the second quarter.
Knight Frank’s Capital Markets Insights report for Q3 2025 shows that this increase was recorded due to the completion of several entry-level transactions and deals that were delayed due to extended due diligence.
Transaction volume year-to-date has already reached 80 percent of full-year growth through 2024, with investment in the Asia-Pacific region expected to surpass the $195 billion mark in 2025.
“The record $63.8 billion of transactions in the September quarter of 2025 marks a real market revival in the Asia-Pacific region,” said Christine Lee, head of Asia-Pacific research at Knight Frank.
Investors are turning to external factors like active asset management and earnings growth.
He further said that this new confidence is driving substantial capital into strategic and defensive sectors.
The report said that cross-border investment in this sector during the quarter stood at $17.8 billion, which is 72.1 percent more than the second quarter and 28.6 percent more on an annual basis.
Australia led the race, attracting $5 billion of cross-border capital. After this, Japan came next with investment of 3.5 billion dollars. South Korea stood at the third position with an investment of 2.3 billion dollars.
“Cross-border investor confidence is growing in the fundamentals of Asia-Pacific’s leading markets. Limited future supply, coupled with stable prices, particularly for institutional grade office and logistics assets, is creating attractive investment opportunities,” said Dan Dixon, head of capital markets for Asia-Pacific at Knight Frank.
–IANS
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