UBS AG, the biggest bank in Switzerland, has plans for expanding its Chinese property investment business into the commercial property market.
Investor demand is increasing in the office, retail, and industrial sectors, and the supply of assets is growing at about 35 per cent each year.
A number of Chinese cities are expected to experience a boost in rental demand for commercial property due to recent regulatory changes, including policies to increase growth in certain areas, according to CBRE Group Inc.
China was among the five most popular markets for retailers interested in opening stores this year, revealed by a report released by the broker in March.
UBS already invests directly in residential property in China through a joint venture formed with Gemdale Corp. The bank has been working with the Shenzhen-based developer since 2008.
USB will offer its clients the option of investing in Chinese property in either U.S. dollars or yuan.
