SINGAPORE
HONG KONG
SOUTH KOREA
JAPAN
AUSTRALIA
Click on the dots to see key policy themes for each country
Australia BTR
Federal and state governments’ recent policy moves have been clearly favourable toward Build to Rent (BTR), particularly improving Australia’s international competitiveness on tax treatment.
A broader focus on accelerating housing supply, with a 1.2 million new home target by FY2029, will benefit BTR as a high-density, fast absorption supply lever.
States have made supportive BTR specific planning moves, although the extent varies. Most now have some sort of state significant development fast track pathway and degrees of provision for BTR.
National “Better Deal for Renters” reforms (e.g. removal of no-fault evictions and limiting rent increases to once a year) broadly align with BTR’s professional management model.
PBSA
HOME
RETIREMENT LIVING
BTR
Australia PBSA
Australia’s PBSA policy environment is mixed but moderately moving in a supportive direction, there is significant scope for further enabling reforms.
Recent policy has moved to settle concern around international student intake, with the allocation set to rise 9.3% on 2025.
At state level, only South Australia has a specific “student accommodation” land-use definition. Most of the benefit from planning changes will come indirectly from state significant strategic site acceleration.
Recent fiscal changes are less supportive, increasing transaction costs: surcharges and foreign/absentee land tax rates have risen in NSW, VIC and QLD.
Australia RETIREMENT
Recent policy movement has been moderately favourable for the Retirement Living sector. Given the headline political support it enjoys, we view it as relatively low risk from a policy perspective.
Federal government has increased and broadened eligibility for downsizer incentives.
The majority of states have increased consumer protection measures, this will build consumer confidence and aligns well with the institutionalisation of the sector.
There have been some supportive planning moves aimed specifically at Retirement Living and broader planning changes can indirectly help the sector.
HONG KONG TALENT HOUSING
Over the last 3 years, government policy has become significantly more favourable, with clear demand-side catalysts and efforts to unlock supply. The most recent Policy Address reinforced this.
Near-term, the focus on global talent attraction will support demand and long-term the Northern Metropolis and University Town will be very supportive.
Measures to streamline housing delivery, including through conversions and government land releases will enable supply.
Fiscal policy moves have reduced entry costs, removed hold periods and should increase exit liquidity.
SINGAPORE CO-LIVING
The policy environment has moved in a moderately supportive direction for Co-living, with some measures aimed at improving supply.
Government sites have been brought forward for Co-living including for intergenerational/elderly Co-living.
A new rental typology has been introduced (SA2) which ostensibly looks favourable for Co-living activity but has had moderate market interest, likely due to high upfront land costs and uncertainty around duration of leases.
Demand side policy has seen little movement but Singapore remains very attractive to overseas workers.
SOUTH KOREA BTR
The policy environment has moved in a clearly favourable direction across both supply and demand.
Korea has made significant policy moves aimed at increasing global talent and student flows which have already had a clear impact. This will help to underpin demand, alongside domestic renters.
Policy changes have lowered the structural barriers to institutional participation in the rental sector. Varying models of ‘corporate rental’ housing have been explicitly identified in policy changes.
REIT reforms make REIT strategies more attractive to operate in Korea and address previous restrictions on participation in development projects.
NEXT
PBSA/CO-LIVING
SOUTH KOREA PBSA/Co-living
The recent regulatory environment for PBSA/Co-living has been very favourable, although we expect Co-living to be the subsector that sees the most activity.
Regulatory changes to introduce ‘rental dormitories’ explicitly aim at promoting private development of Co-living properties.
Korea has made significant policy moves aimed at increasing global talent and student flows which have already had a clear impact.
REIT reforms enable make REIT strategies more attractive to operate in Korea and address previous restrictions on participation in development projects.
BACK
south KOREA RETIREMENT
Policy moves have been clearly supportive for the Retirement Living sector in Korea, this direction of travel is likely to be sustained given the political recognition of the demographic challenges.
Regulations have/are being revised to allow privately led Retirement Living housing development across the affordability spectrum.
There have been very mild policy moves to increase staffing levels but in our view these are not substantive enough.
A new class of REITs aimed specifically at development projects, addresses previous restrictions on REITs participation in development and will help REIT strategies.
RETURN
JAPAN MULTIFAMILY BTR
The policy environment has been moderately supportive over the last 3 years, with the more impactful measures falling on the demand side.
Japan has made a series of policy moves aimed at substantially increasing inflows of international talent and students.
Supply side measures are focussed around easing thresholds and increasing flexibility for urban condo redevelopment.
Regulatory changes enabling private sector participation in delivering homes at a discount to open market rates has parallels with models in Europe and will be a theme to watch.
JAPAN PBSA
The policy picture for PBSA has seen a lot of positive movement on the demand side but no measures of note to enable supply. Promoting PBSA delivery will help Japan’s appeal to international students.
Japan has been making sustained policy moves aimed at increasing overseas student numbers. This looks to be a relatively secure strategic direction.
JAPAN RETIREMENT
There has been very little policy movement that is meaningful for institutional private sector delivery of Retirement Living in Japan.
The government has taken policy steps to address the shortage of elderly care staff, making it easier and cheaper to recruit.
The regulatory complexity and fragmented nature of the sector mean institutional penetration is likely to remain low without regulatory changes to increase activity and help bring in new capital.
