1. Singapore: Rising tourism fuels hotel development boom
Increasing tourism demand in Singapore is spurring a wave of new hotel developments across multiple price points, as business for existing properties in the Asian city-state rebounds from setbacks experienced during the pandemic.
Analysts said visitor counts have also been boosted in the past year by special events including music concert tour appearances by Coldplay and Taylor Swift, which combined sold more than 500,000 tickets for Singapore shows. Swift’s Eras Tour alone accounted for 90.8% hotel occupancy in Singapore across six nights, according to CoStar hospitality data.
2. UK: Ozempic maker leases Oxford space at top rent
Danish pharmaceutical firm Novo Nordisk, maker of popular drug brands such as Ozempic and Wegovy, leased 60,000 square feet of lab and office space in Oxford, England, at a rent that is expected to be a record for shell space in that city.
Sources said the company leased the space for about £60 per square foot within a 96,695-square-foot building operated by developer GIC and Magdalen College at Oxford Science Park. The building has been marketed as the first speculative lab-ready space in the city and is part of a larger planned 450,000-square-foot life science lab and office development.
3. France: Developer expands Paris apartment portfolio
Developer Redman added to its Paris apartment holdings with the purchase of a property in the city’s 19th arrondissement, after acquiring four residential buildings in the region at the end of 2024.
The latest transaction was completed at an undisclosed price on behalf of Redman’s joint venture with Omnes Capital that is geared toward investments and redevelopments, according to sources. Conversion plans for the latest investment call for 17 apartments and a ground-floor retail shop, with completion expected in 2027.
4. Germany: European Union agency plans move to Frankfurt tower
A new European Union authority tasked with combating money laundering and terrorist financing plans to move into the Messeturm, the second-tallest office building in Frankfurt, Germany.
Sources said the targeted space consists largely of offices formerly occupied by Goldman Sachs, spanning about 12,500 square meters across five floors. The EU agency plans to start work with 80 employees by the end of 2025, increasing to 430 over the next few years.
5. Canada: Public REITs poised for rebound in 2025
This year could see a turnaround for public Canadian real estate investment trusts, as market fundamentals improve and commercial property sales rebound, according to analysts.
Analysts at Raymond James & Associates said they expect total returns for the country’s public REITs to be in the 20% to 25% range in 2025, though improvements could be weighted primarily toward the year’s second half. Canadian REITs in 2024 posted the third straight year of underperformance relative to the overall property market, marking the longest streak of lagging performance in the last 25 years.
6. US: Fires reduce businesses to rubble in Los Angeles neighborhood
Fires sweeping the Los Angeles region made rubble of places including the village green in the once idyllic Pacific Palisades neighborhood near Malibu, California, downing power lines and trees, and leaving behind shattered glass and melted steel littering the streets.
Residents and business owners across the region worried it could be a sign of more to come, as wildfires continued to endanger lives and property across Los Angeles County. Pacific Palisades, a secluded community of upscale designer shops, eateries, service providers and other businesses, now resembles a post-apocalyptic neighborhood after the Palisades fire destroyed more than 5,000 homes and businesses, from small family-owned eateries and shops to real estate offices.
This report was compiled from CoStar’s news publications in the United States, United Kingdom, Canada, France and Germany.