Investors Embracing Real Estate Debt in Asia-Pacific Says CBRE's Chin

The video discusses real estate debt as an investment strategy, highlighting its appeal to institutional investors. It outlines three main reasons for this strategy: low property yields, rising interest rates, and banks' cautious lending. The video also explores different markets, such as Australia and China, and the types of debt involved, like development and mezzanine loans. It emphasizes the importance of understanding risks, including regulatory and currency issues, and the need for careful asset underwriting.

What is one reason why real estate debt is considered a viable strategy for some investors?

• Funding gaps in the market

• High property yields

• Low interest rates

• Increased bank lending

Which market is mentioned as a good example for fixed income play?

• India

• China

• Australia

• United States

What type of returns can investors expect from development loans in China?

• Negative returns

• Over 30%

• Mid to high teens

• Low single digits

What is a major risk factor for investors in the Chinese real estate market?

• Stable regulatory environment

• Currency depreciation

• High property yields

• Excessive bank lending

What percentage of midsize developers in China are operating with positive cash flow?

• 60%

• 50%

• 40%

• 30%