January 2015 Asia Roadshow

MaxCap spent two weeks over January on an Asia investor roadshow covering Kuala Lumpur, Hong Kong, Seoul and Singapore and met with 90 groups ranging from Family Offices, Advisors, Private Banks, Pension Funds, Insurers and Sovereign Wealth Funds. There was an exceptional level of engagement around the strong risk-adjusted returns and relative value that Australia CRE debt investment provides and a general recognition that the recent currency devaluation presents a good entry point for foreign investors.

In general, there is a strong affinity with real estate across Asia, in particular development and a significant appreciation for Australia’s stable economic fundamentals and transparent regulatory framework, which provides good visibility over the medium term. We found a number of investors have been investing in Australia for some time however, now finding it particularly difficult to access core assets and recognise that the debt investment proposition provides better access to strong risk-adjusted opportunities in the residential development and repositioning commercial sectors and in turn, access to stabilised assets.

The trip confirmed our position that there are a number of investors willing to look at a varying number of structured investments and we are working more closely than ever with our investor base in order to provide a platform that can match capital requirements to borrowers’ optimal funding solutions.