Chances abound for cash-rich property investors
21-01-2013
Marc Townsend, managing director of CBRE, told the meeting many investors this year consider cash as their decisive advantage instead of project sites in 2009 or timing in 2011.
The local realty market has been mired in difficulties for a couple of years, Townsend said, adding waning confidence plus accelerating pressure of macroeconomic factors make it more difficult for investors to seek loans for developing property projects.
“The year 2013 will see more troubles for the real estate market and those who can gain access to capital sources will dominate the market,” he noted.
Loan access will help realty developers complete their projects to release them onto the market on schedule. In fact, this is what several members in the property industry have failed to overcome, resulting in their projects being left incomplete.
On top of that, enterprises with strong financial capability can acquire a slew of low-cost schemes to do business upon the market’s recovery, Townsend added.
Despite the current dreary trading, the local realty industry has still remained attractive to Asian investors, Townsend said. The fact that a number of segments have almost bottomed out in prices will attract foreign investors planning to enter the domestic market, he told the meeting.
