Apac real estate investments grew to US$42 bil in 2Q2025, boosted by living sector and data centres: Knight Frank
Australia was the largest recipient of overseas inflows, at US$ 3.8 billion. These consist of 2 considerable living industry deals: The sale of 65 senior living facilities by Brookfield Asset Management to Australia’s The Living Company for US$ 2.5 billion; and Greystar’s acquisition of a trainee real estate portfolio from Singapore’s GIC and Wee Hur Holdings for US$ 1 billion. Past the living field, Australia nabbed investments for prime workplace assets in main places.
Consequently, whilst traditional properties remained to dominate activity last quarter, alternative possession classes such as the living market and data centers saw an uptick. Financial investment in the living market nearly doubled y-o-y to strike US$ 4.9 billion in 2Q2025, while data centre investment volume amounted to US$ 2.4 billion, up 40.2% q-o-q.
Cross-border investment activity accounted for US$ 12.1 billion of general investment quantity, showing a 50.1% y-o-y surge. The bulk of cross-border funding flows was mainly upheld by US clients, claims Knight Frank.
The boost in volume signifies Apac’s continued demand to global financing, observes Craig Shute, Chief Executive Officer of Apac at Knight Frank. “Despite continuous unpredictabilities, financier interest continues to be high, with cross-border runs growing and sectors such as living and information centres continuing to surpass. There are clear indications that long-term fundamentals continue to be attractive,” he adds.
Realty investments in Asia Pacific (Apac) got a boost in 2Q2025, information put together by Knight Frank reveals. The area documented US$ 42 billion ($53 billion) in financial investment volume past quarter, logging 7.4% growth q-o-q and 10.1% growth y-o-y.
Looking in advance, while extended geopolitical and economic instability might dampen belief, Knight Frank sees that improving prospects for United States trade agreements and declining loaning expenses anticipated in the second half of this year could stimulate a lot more financial investments throughout the area.
Bloomsbury Residences condo floor plan
Singapore likewise stood out last quarter, with foreign funding inflows to the city-state hitting US$ 2.3 billion, up from US$ 342 million documented in 2Q2024. The rise came from IOI Group’s acquisition of a 50.1% stake in mixed-use development South Beach from joint-venture partner City Developments for US$ 650 million, in addition to Brookfield Asset Management’s acquisition of 3 industrial properties from Mapletree Industrial Trust at US$ 420 million.
Christine Li, Knight Frank’s head of research for Apac, notes that financiers in Apac realty are revealing a greater feeling of discernment around asset kind and top quality. “We see clear signs that worldwide capital is gravitating towards places and markets offering revenue security and efficient development leads, even as trade uneasiness and the possibility of shifting monetary policy add an additional layer of complexity,” she explains.
On the other side, the industrial industry saw reduced investments in both q-o-q and y-o-y terms, which Knight Frank attributes to continued unpredictability over United States trade policy.
