PERE: Asia roundtable 2024 - Fundraising challenges ease in Asia-Pacific feat. Marcus Merner
Marcus Merner, Managing Partner at BGO, highlights the strategic nuances of real estate investment in Asia-Pacific. He emphasizes the importance of focusing on developed markets such as Japan, Australia, and Korea due to their stability and growth potential. Merner explains that geopolitical tensions and China's economic uncertainty have shifted investor attention toward other regions, making diversification critical. He also underscores the value of strategic debt structuring to mitigate risks associated with interest rate changes and market volatility, particularly in Japan, where long-term stability supports a variety of sectors, including office spaces, hospitality, and multifamily residential properties.
Merner also touches on the challenges in China's real estate sector, citing geopolitical risks and market opacity that deter U.S. and European investors. While Middle Eastern investors show some interest, Merner sees greater opportunities in markets like India, where regulatory reforms and infrastructure development create a more favorable environment. He stresses the importance of defensiveness in investments amidst geopolitical volatility, ensuring resilience in portfolio strategies to capitalize on Asia's long-term demographic and economic strengths.
