Asia Pacific’s commercial real estate investment volume soared by 28% quarter-on-quarter to $41.8b in Q3 2025, marking the highest quarterly total since 2021, according to CBRE Research. This surge was largely fuelled by strong activity in Japan and Korea, with Japan alone seeing a 129% increase in investment volume to $14b.
Office occupier sentiment improved significantly during the quarter, bolstered by easing trade tensions and stricter office attendance mandates. Grade A office net absorption rose by 10% year-on-year, reaching 14.5 million square feet. The technology, media, and telecommunications (TMT) and finance sectors led demand across most markets, although rents fell slightly when mainland China markets were included.
Retail sales in the region remained steady in July and August, with increased leasing enquiries and site visits as global trade policy clarity encouraged retailers to expand. Retail rents edged up by 0.2% quarter-on-quarter.
The logistics sector experienced a recovery in leasing momentum, driven by third-party logistics providers and domestic e-commerce operators. Despite a surge in short-term leases ahead of the festive season, logistics rents fell by 1.8% quarter-on-quarter.
The report highlights the resilience of occupier markets in the Asia Pacific region, with investment activity rebounding strongly, particularly in the office sector. As the region continues to navigate global economic challenges, these figures suggest a positive outlook for the commercial real estate market heading into 2026.
