The property investment market in Asia fell in the first quarter of 2009 by 83 percent from the previous quarter, according to global real estate firm CB Richard Ellis (CBRE). Japan, Singapore and Hong Kong suffered the largest falls in sales volume, according to the data. The industrial property sector also underwent the largest drop by segment, falling 95 percent from the first quarter of 2008. Office transactions fell by 89 percent and retail property deals dropped 40 percent from the same time a year ago.
Singapore saw the largest declines in investment sales in the first three months of this year, with total sales of S$204.2 million, a drop of 51.8 percent from the previous quarter and 97.7 percent from a year ago. The last time that investment sales in Singapore were at these levels was in 1998, according to CBRE.
Hong Kong also saw a drop in investment deals as investors continue to have a difficult time finding the money necessary. Smaller deals, those under HK$100 million, did pick up towards the end of the quarter, though. Commercial markets in Japan and South Korea also showed considerable drops in sales as investors found it difficult to raise equity.
