IN VEST ING
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T H E W EALT H REPORT 2 022
UAE
Around the world in 25 themes
a larger US$272 million agritech support programme. Dubai-based Fish Farm, launched
ONDŘEJ VLK, HEAD OF RESEARCH & CONSULTANCY, KNIGHT FRANK CZECH REPUBLIC
in 2013, produced 600 tonnes of salmon
in 2020, rising to 1,000 tonnes in 2021 and
Retail parks proved to be pandemic-proof
eventually to more than 10,000 tonnes a year.
thanks to their tenant mix and open layout, which
enabled them to stay open even during lockdown,
Covid-19 has also driven what appears to be a
warehouse assets have never been more popular.
HONG KONG
shophouses. These unique properties can be businesses including retail and food & beverage for recurring income in areas that have been gentrified or are undergoing gentrification.
space within a building can be bought and owned)
We are starting to see industrial zones located
of the Northern Metropolis, which involves the
mainland China to attract significant amounts of
lean to constructing prime offices generally and
mainland China, construction of up to 186,000
around 41% of deals by number and 20% by value
totalling only about 17% of total office stock, will
smaller and more flexible office space will feature.
Growing government support for the sector,
to make a substantial contribution to the clean
including through federal funding to make childcare
export industry. Australia has identified
of childcare centres as an asset class.
energy transition while underpinning a new
more affordable, has increased the attractiveness
Pubs provide strong lease covenants and
attractive lifestyle destinations are underpinned
by high land values with substantial upside
investment from private equity, representing in 2020, according to StepStone.
NEW ZEALAND
going forward.
properties and 3-in-1 conversions (the ability
renewal is becoming more popular, especially in the CBD with old offices being converted into
prime housing through the application of
government subsidies offered to those renovating unsafe buildings.
to build three properties) all offer opportunities.
DAVID BOURLA, CHIEF ECONOMIST & HEAD OF RESEARCH, KNIGHT FRANK FRANCE
BEN WOODHAMS, HEAD OF KNIGHT FRANK’S AFRICA DESK AND FORMER MD KNIGHT FRANK KENYA
value through the underlying land. These assets
Assisted living for the elderly has not been
Vineyards are of interest with the French wine
potential for strong income and capital growth.
seeing a substantial investment in this sector as
In addition, self-storage units are offering
typically have high occupancy levels, with the Many are looking to leisure and hospitality
first half of 2021, France exported 7.3 million
as it will form the second part of the post-
2019, according to Vitisphere. There are wine-
and golf resorts all look interesting.
pandemic recovery. Hotels, tourism businesses
specialise in vineyard investment.
INDONESIA
conscious investors is forestry, which has a
SYARIFAH SYAUKAT, SENIOR RESEARCH ADVISOR, KNIGHT FRANK INDONESIA
relatively low entry point from €2,000 per hectare.
CHINESE MAINLAND
The pandemic has created the opportunity to increase the agricultural productivity of arable
farmland around secondary cities and there are
tourism post-lockdown. The market is highly so is more accessible for private capital.
as medical research and life sciences facilities
central fulfilment centres in metropolitan areas.
fragmented with limited institutional involvement,
these are attracting a lot of investment. Urban
KENYA
REGINA YANG, HEAD OF RESEARCH & CONSULTANCY, KNIGHT FRANK SHANGHAI & BEIJING
potential, given the positive outlook for domestic
outside of the CBD in Taipei. There is a specific
In the residential space, build-to-rent, waterfront
Another opportunity for sustainability-
reliable income streams, and those located in
Healthcare is fast becoming the next sector in
Industrial assets and commercial mixed-use
growing land groups, such as ATREAM, that
be useful in the post-pandemic office era where
tailwinds such as ageing populations and a rise
CHRIS FARHI, HEAD OF INSIGHTS, DATA & CONSULTING, BAYLEYS REAL ESTATE
hectolitres of wine, 15% up on the first half of
in the CBD could also be popular. These units,
TAIWAN
in healthcare spending.
As per the city’s 2021 Policy Address, the concept
market seeing a healthy rise in exports. In the
Strata office units (where individual office
and smaller assets such as medical centres and
ANDY HUANG, RESEARCH DIRECTOR, REPRO KNIGHT FRANK
FRANCE
used for family office space, or leased to
good investment opportunities.
pharmacies – will benefit from long-term structural
MARTIN WONG, HEAD OF RESEARCH & CONSULTANCY, GREATER CHINA
developments in particular offer opportunities
the city’s limited inventory of low-rise conservation
in combination with rental growth still represents
expected to not only persist but intensify, industrial
from both developers and private investors.
might be drawn instead to the historical charm of
gets traded, which helps yield compression, but
distribution warehouses. With this dynamic
Shenzhen, has drawn a lot of investment interest
with high-intensity use. As such, private investors
is the product that everyone wants, but rarely
the region, significantly ramping up demand for
city to the Qianhai (see page 61) economic zone in
demand for 2050.
and investors seem to appreciate that. Logistics
permanent shift in online shopping habits across
opportunities take the form of city-type buildings
federal and state investment, has the potential
CZECH REPUBLIC
four agritech companies, the first stage of
In urbanised Singapore, many real estate
Green hydrogen production, supported by
ports and toll roads.
Abu Dhabi is investing US$100 million in
LEONARD TAY, HEAD OF RESEARCH, KNIGHT FRANK SINGAPORE
meet the Hydrogen Council’s predicted global
traditional infrastructure assets such as airports,
Gulf region usually imports 80% of its food.
homes and a new cross-border railway linking the
hydrogen production, more than enough to
often less correlated to the business cycle than
Middle East. Due to climate constraints, the
SINGAPORE
262,000 sq km of coastal land suitable for
economy continues to digitise, and returns are
Agritech and aquaculture are booming in the
development of an IT hub near the border with
BEN BURSTON, CHIEF ECONOMIST, KNIGHT FRANK AUSTRALIA
Growth potential is very high as the global
JAMES LEWIS, MANAGING DIRECTOR, KNIGHT FRANK MIDDLE EAST & AFRICA
With 23% of UHNWIs planning to invest directly in commercial property in 2022, according to our Attitudes Survey, The Wealth Report asked Knight Frank’s global network to identify some options for private capital in their markets. From salmon farms to pubs, and everything in between, here’s a round-up of their suggestions
AUSTRALIA
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Healthcare assets – including larger assets such
prospects for further growth.
There is a lot of interest in digital infrastructure,
such as data centres and micro-fulfilment and
common in much of Africa, but we are currently
the concept catches on. We are also expecting a series of data centres to be developed close
to the geothermal springs of the Great Rift
Valley – the power-hungry facilities making use
of geothermal energy produced by the volcanic activity in the region.
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