H1 Asia-Pacific investment volume on par with 2018: JLL

JLL helped with the $72.8 million sale of the Next Hotel Brisbane in Australia. Photo credit: Next Hotels

JLL has released a list of hotel investment highlights across the Asia-Pacific region for H1 2019. 

Investment activity for the first two quarters of the year remained "largely on par" with first-half 2018, the report found. Year-to-date transaction volume for the period reached $4.5 billion.

The report noted private equity firms and developers have been the most active buyer types across the region for the last 10 years at approximately 37 percent of the total transaction volume (as of the end of June). REITs and high-net-worth individuals also were "notably active" for the first half of the year, making up approximately 27 percent of the total transaction volume compared to 9.3 percent for all of 2018, according to JLL. 


Like this story? Subscribe to IHIF!

The hospitality industry turns to IHIF International Hotel Investment News as the must-read source for investment and development coverage worldwide. Sign up today to get inside the deal with the latest transactions, openings, financing, and more delivered to your inbox and read on the go.

Most H1 deals were made by domestic purchasers, who drove almost 80 percent of the total capital invested in the region. While REITs were the largest domestic buyers, the report found private equity firms were the biggest cross-border purchasers at about 27 percent of the total cross-border volume during the period.

The report acknowledged the recent "trade tension" between the United States and China, suggesting assets in major markets make for safer investment opportunities in the face of economic uncertainty. 

For the remainder of the year, JLL expects total transaction volume to match or exceed the $8.8 billion recorded in 2018. 

JLL Top 10 Single Asset Transactions
Photo credit: JLL

Suggested Articles

The sale is the latest step in Park's asset-light strategy.

Ahead of the Israel Hotel Investment Summit, Christian Michel, VP of development for Wyndham Hotels & Resorts, talks about the value of brands.

Meliá Hotels International still expects to see a “moderately positive year end” after EBITDA drop, pulled down by lower capital gains against 2018.