Taiwanese insurers tipped to make huge investments in overseas commercial property | 8 October 2013
Insurance companies in Taiwan have been tipped to the equivalent of $10 billion in overseas commercial property in the next few years.
This huge rise in spending has been forecast due to the lifting of restrictions on commercial property investment by the Taiwanese government.
A number of the island’s major insurers have already announced plans for major investment in commercial property following the relaxation of these laws.
Paul Hsu, who is chairman of the Life Insurance Association of the Republic of China, claims that his company would be very keen to invest in the right buildings.
Speaking to bloomberg.com, he said: “For the whole industry, the number can definitely be over $10 billion. We’re now trying to build a base in some big Chinese cities before moving into the second-tier ones there. The former provide good rental and stability, while the latter would also give us potential capital appreciation.”
Scmp.com reports that investment in local commercial property has also been tipped to skyrocket. However, insurers are only allowed to buy properties with a yield of 2.875 per cent of more.
Mr Hsu claimed that this could prove to be a major hurdle for many companies
“If this minimum yield doesn’t get lowered, it’s impossible to see any major investment by insurers into domestic properties,” he said.
The views expressed in this post are those of the author and are not necessarily those of Qube Global Software. All facts are verified where possible directly by the author.
Qube Global Software wins Industry Supplier of the Year Award for 2nd consecutive year | 2 December 2016
Qube Global Software won Industry Supplier of the Year at the News on the Block Property Management Awards for the second year running.
We have partnered with the Facilities Show to host an exclusive webinar on the relationship between facility, property and estate managers and their service providers and contractors.
We are delighted to announce that Qube Global Software has been shortlisted in the Industry Supplier of the Year category at the Property Management Awards 2016, hosted by News on the Block.