KUALA LUMPUR: Asia Pacific continued to see strong interest in property in 2012, as volumes in the fourth quarter ended Dec 31, surged 35% to US$144.4bil from the third quarter mainly due to land sales.
Asia Pacific Real Estate Association (APREA) CEO Peter Mitchell said on Wednesday transaction volumes increased significantly each quarter during 2012, shrugging off concerns over Europe and the anemic recovery in the US.
“The increase was driven primarily by land sales, which rose 42%. Commercial transactions also contributed with 22% higher activity, while apartment and hotel transactions dragged at -57% and -16% respectively,” he said.
APREA represents the Asia Pacific real estate asset class, and Real Capital Analytics (RCA).
Mitchell said excluding land transactions, Australia led in regional sales volume, accounting for 29% of Q4 sales; Hong Kong with 20% and Japan 19%.
When compared with Q3, this was an increase of 130% and 74% for volumes in Australia and Hong Kong respectively.
However, volumes in other countries in the region fell, with Singapore recording a 44% decline and South Korea fell 33%.
The report showed cross-border entities were net buyers in Q4, up 57% in acquisition volumes versus Q3. Their share of purchases rose to 30% from 20%.
Local buyers also increased their purchases slightly to make up 60% of acquisition volumes. National buyers' share of acquisitions declined.