MIPIM Asia comes of age

The sixth edition of MIPIM Asia saw 1,800 senior real estate executives, retailers, government officials and city administrators from 41 countries wrapped up business discussions in Hong Kong.

1,800 senior real estate executives, retailers, government officials and city administrators from 41 countries wrapped up business discussions in Hong Kong November 17, as the three-day MIPIM Asia 2011 concluded.

Summing up the mood at Asia Pacific’s leading real estate gathering, Justin Chiu, Executive Director, Cheung Kong (Holdings) Limited (Hong Kong SAR), said, “MIPIM Asia has come of age this year.” With attendance up by some 5 per cent compared to 2010, MIPIM Asia welcomed its first Malaysian Pavilion, an expanded Hong Kong Pavilion, a first-time presence from the Northern Caucasus Resorts and France’s Orchestra retail brand.

“In its sixth edition, MIPIM Asia has confirmed that it is the international event for major real estate companies operating within the region or seeking to work internationally with Asia Pacific players,” commented MIPIM Asia Director Filippo Rean. “The presence of retailers is something new at MIPIM Asia and reflects Asia Pacific’s potential for retailers and the attractiveness of retail real estate compared to certain other property assets.”

Underlining Asia Pacific’s growing importance on the international market, French Urban Affairs Minister, Maurice Leroy, attended MIPIM Asia to promote the vast Greater Paris project which includes a EUR20 billion (US$26.9 billion), 150-kilometre driverless subway system around the French capital. The project also plans for 70,000 houses to be built per year for the next decade. Work is expected to start on Great Paris in 2012.

November 17 saw Carrie Lam, Secretary for Development of the HKSAR Government, hosting a Hong Kong-themed lunch for over 60 leading real estate executives attending MIPIM Asia. During the Secretary for Development’s presentation, she outlined plans to increase office supply in Hong Kong so as to sustain the city’s economic growth in the foreseeable future.

Meanwhile Taiwan’s Council for Economic Planning and Development Minister, Christina Y. Liu, heading a 60-strong Taiwanese delegation, told MIPIM Asia attendees about 35 projects representing a total investment of US$36.7 billion. The developments include an international economic zone, a new trade centre in Kaohsiung City and a major hotel complex in Kinmen County. The Minister commented that increased tourism between China and Taiwan has led to a significant growth in hotel investment opportunities.

At the traditional MIPIM Asia wrap-up conference, devoted to investment opportunities in Asia, Professor Francois Ortalo-Magne and Albert O. Nicholas, Dean of the Wisconsin School of Business (USA), Yue Tang, Attorney at law/Partner, Jun He Law Offices (China) and Dr. Megan Walters, Head of Research, Asia Pacific Capital Markets, Jones Lang LaSalle (Singapore), agreed that while price remains a key element in investment decision-making, investors are increasingly factoring in the quality of design and sustainable elements. The expert panel also noted increasing investment opportunities for international companies targeting mainland China as legislation seeks to open up the market to a diverse range of development companies.