Savills Investment Management, an international real estate investment manager, reported Friday around €670 million ($766.53 million) in transactions in Asia in 2021, out of more than €3.4 billion globally.
Within Asia, Savills IM completed the first acquisitions for its Asia-Pacific Income and Growth Fund, which was launched in May 2021, the company said in a press release.
Those deals included 241 O’Riordan Street, an 11-storey office building in Sydney, Australia, and 10 assets in Japan for its Japan Residential Fund, the statement said.
Net investments of €900 million
Globally, the transactions included around €2.1 billion of acquisitions, and around €1.2 billion of disposals, for net investments of around €900 million, Savills IM said.
Around €2.6 billion of the manager’s transactions were in Europe, the statement said.
Altogether, there were 90 transactions across 13 countries in 2021, up 21 percent on-year, Savills IM said. Assets under management were around €24.8 billion as of end-September, the statement said.
'Beds and sheds'
Kiran Patel, global chief investment officer and deputy global CEO at Savills IM, said looking ahead, inflation will be a key concern for real estate investors, and he warned that low-yielding assets could be vulnerable.
«We see ‘beds and sheds’ as the sectors to watch over the next twelve months, with significant opportunities in promising subsectors such as urban and last-mile logistics, light industrial estates and cold storage,» Patel said in the statement. «We also see attractive risk-adjusted returns and downside protection in real estate debt.»
«Beds and sheds» refers to residential, multifamily, hotel and student housing projects, and to warehouses, particularly targeting e-commerce.
