The Asian real estate market saw a quick and strong recovery during the second half of the year 2009 after encountering a hard start in the beginning of the year. Even though the investment turnover bottomed during the first quarter, it was able to improve its confidence and rebound the market gradually. The direct investments on the properties in Asia jumped fifty-six percentages during the second half of the year 2009. However, the general transaction volume of the place was still twenty-two percentages, which was lower in 2009 when it is compared with the earlier year.

The property markets in the China were at the front position of this recovery. Taiwan and Hong Kong accounted a fifty seven percentages of the total investment volume during the second half of the year 2009. Korea, Japan as well as Singapore were also able to witness a powerful rebound in the investment activities. However, the investment activities were largely driven by the intra-regional as well as domestic investors, which accounted for eighty-three percentages and fifteen percentages of the total volume correspondingly.

The prime office properties also continued to attract the interest of many investors. This accounted over US$10 billion investment during the second half of the same year. The prime office also accounted eight of the largest ten transactions, which was witnessed during the same period.

However, the residential Sri Lanka properties were accounted for twenty percentages of the total transaction volume. This also compressed most of the retail sectors. Looking ahead, the Asian governments are expected to adjust their monetary policies gradually and impose some policy measures for tightening the property and also to prevent the development of the new asset bubbles.