Global Investors To Focus On Posh Office Space, Mixed-use Projects In 2022
GLOBAL – Real estate investment company Hines said high-end offices, smart buildings, and mixed-use projects would be the global property trends for this year, reported The Business Times on Friday evening (11 February, SGT).
After nearly two years of working from home (WFH), some firms are itching to create better teams and a more robust collaborative culture among their staff via hybrid or on-site work arrangements, said Laura Hines-Pierce, the newly appointed co-CEO of Hines.
“We’re seeing focus on the highest-end trophy office spaces, because that’s the type of space employees would really want to come back to,” she noted. These includes office properties like One Vanderbilt in New York City, the Salesforce Tower in San Francisco, and One Museum Place in Shanghai.
“Tenants want to be there, and I think investors want to own trophy offices, because they see their long-term value.”
Moreover, Laura revealed that Hines is providing value-add services like hospitality and training programmes to enhance client experience in its luxury office spaces.
“Beyond that, we’re continuing to partner with our largest clients and tenants. We discuss what’s important to them, and how we can help them to solve their individual challenges,” she added.
For both property investors and tenants, there is also rising demand in mixed-use projects due to convenience and diversification of income streams that they provide. As such, Hines is also upbeat on mixed-use developments as an asset class, added Laura.
In April 2021, the real estate investment firm rolled out Hines Asia Property Partners, an open-ended fund with a war chest of US$2.3 billion. To date, Hines has invested half of its funds across developed markets in Asia.
Established in 1957, the Houston-based company presently has a presence in 27 countries and more than US$83.6 billion in assets under management (AUM). It primarily invests in retail, residential, industrial, and office spaces.