Amidst geopolitical volatility and shifting global economic dynamics, cross-border capital flows are changing. Cross-border real estate investment into the United States from Europe and Canada is slowing, while Asian capital activity—particularly from Japan—is increasing. So what does that mean for other investors in US commercial real estate?

Japanese investors now own about 6% of the US home-construction market, according to the Wall Street Journal,, and Japan-linked investors have purchased at least $2.1B worth of NYC real estate since 2024. 

In this episode of the AFIRE Podcast, host Gunnar Branson checks in with two experts on Asian capital from Cushman & Wakefield: Gordon Marsden, the firm’s head of global capital, APAC & EMEA, and Marc Royer, the firm’s managing director, global capital advisory. 

Together, they explore the key drivers behind Asian capital deployment in US property markets. They discuss some of the attributes that differentiate Japanese investment strategies relative to those of other countries. And they describe how Japanese investors navigate currency volatility and structural changes, as well as the evolving sophistication of Asia-Pacific institutional investors.

LINKS

Japan Is Placing a Multibillion-Dollar Bet on the U.S. Housing Market: Wall Street Journal

Why Japanese Capital Is Moving Into U.S. Real Estate Markets: America Mortgages

Japanese investors rush to buy NYC multifamily: The Real Deal

To hear the globe’s top experts discuss opportunities in US property markets, register for future AFIRE conferences: https://www.afire.org/events/

KEY MOMENTS

00:00 Introduction
01:09 Japanese Capital in US Markets
03:45 Evolving Investment Models
05:35 Structural Capital Origins
07:32 Demographics and Diversification
08:35 Knowledge Acquisition Strategies
09:19 Managing Currency Volatility
13:08 Long-Term Portfolio Allocation
14:55 Relationship-Driven Investing
18:00 Regional Investor Sophistication
21:02 Asia-Pacific Regional Investment Trends
24:48 Shared Market Lessons
27:12 Common Investor Misconceptions
30:23 Regional Infrastructure Demand
33:02 Future Outlook

DISCLAIMER

The publisher of the AFIRE Podcast is not engaged in providing tax, accounting, or legal advice through this publication. No content published in the AFIRE Podcast is to be construed as a recommendation to buy or sell any asset. Some information included in the AFIRE Podcast has been obtained from third-party sources considered to be reliable, though the publisher is not responsible for guaranteeing the accuracy of third-party information. The opinions expressed in the AFIRE Podcast are those of its respective contributors and sources and do not necessarily reflect those of the publisher.

The AFIRE Podcast with Gunnar Branson is the official, multiple-award-winning podcast of AFIRE, the association for international real estate investors focused on commercial property in the United States.

Hosted by AFIRE CEO Gunnar Branson, the podcast features informative and in-depth conversations with experts across the full spectrum of real estate, investment, sustainability, economics, geopolitics, and urbanism with a focus on helping each other become Better Investors, Better Leaders, and Better Global Citizens. To learn more, visit afire.org/podcast