Thanks to the growth of online giants such as Alibaba and Tencent, the tech sector now accounts for more than 38 percent of China’s GDP, according to government statistics, and with other Asia Pacific nations such as Singapore and India also rapidly shifting to new industries, the economic transformation is changing the face of the region’s office ecosystem.
To better under this shift to the new economy, and how it is reshaping downtown and suburban office assets, Mingtiandi has invited representatives of Allianz Real Estate, global design firm Benoy, JLL and Switzerland-based fund manager Asia Green to contribute their perspectives on this transformation in a panel discussion on Tuesday, 2 November at 10:00 AM Hong Kong time.
During this fourth and final session in Mingtiandi’s Office Strategies Forum, which is sponsored by Yardi, the panelists will explore how Asia’s tech economy is driving demand for office space within the region and how the office requirements of companies employing squads of developers and product managers differ from the finance and professional services giants which has traditionally driven the market for grade A space.
With the pandemic have ramped up demand for online services, some analysts now expect tech sector firms to occupy 20 percent of office space in the region, and the four panelists will also examine how Asia’s office sector is likely to see increased demand from online firms in the long term.
Betting on the Future
One of the biggest bets on fulfilling the real estate needs of Asia’s tech sector was announced one year ago when Singapore giant CapitaLand unveiled a plan to grow its exposure to China’s new economy sector by more than threefold to S$5 billion ($3.7 billion) over the next few years.
Since that time a number of other investors have announced similar strategies, with Mingtiandi’s panel set to explore the economic trends driving this rebalancing of investment targets.
Among the guests on the one-hour show is Danny Phuan, head of Asia Pacific acquisitions and head of China for Allianz Real Estate, which has invested over $2.5 billion in real estate assets across Japan, Australia, China, Singapore and other parts of the region.
To provide insights on how tech companies provide space for the young teams working startup hours is Terence Seah of Benoy, where he has overseen projects for Alibaba and other Internet giants in his role as head of Hong Kong, Singapore and Shenzhen for the global design firm.
JLL executive director Tim Graham, who heads capital strategies for APAC, will share his thoughts on how new economy firms are transforming the investment environment after advising on nearly $11.7 billion in capital markets transactions in the region.
Providing perspectives from a fund manager who has developed office projects in China and Southeast Asia will be Asia Green Real Estate Managing Director Augustine Chin, whose projects include the ABI Plaza in Singapore’s Tanjong Pagar area and the World Financial Center in Chengdu’s Dayuan area.
Tech Show on the Way
Next Tuesday’s panel follows soon after Mingtiandi’s program today on Asian Capital and Australian Offices, which featured guests from SC Capital Partners, JLL, Perri Projects and Real Capital Analytics.
Coming up, after a three-week break, will be Mingtiandi’s Property Innovation Forum, which will feature the launch of an original report on tech adoption in Asia. The Innovation forum will also include panel discussions dedicated to new technologies in the logistics sector as well as a panel on tech adoption in commercial real estate.