Family Offices to Keep Buying Global Property
Family offices now hold a growing share of commercial deals, so property markets in Europe, Japan and the US may see continued competition.
Updated on Nov. 1, 2026 in Commercial
Hong Kong family offices are expected to keep investing in European, US and Japanese commercial property despite an anticipated 0.25 percentage point US Federal Reserve rate increase in December 2026. Family offices and ultra-high-net-worth investors accounted for 16 per cent of total commercial transactions year-to-date, up from 9 per cent in 2025.
Why it matters
Rising interest rates tend to push global capital toward assets offering higher returns, which can reduce real estate holdings across the board, so the trend shapes where and how wealthy investors buy property. For households watching the commercial real estate market, the shift signals how competition for property may evolve over the next year.
Family offices now account for 16 per cent of commercial transactions year-to-date, up from 9 per cent in 2025. Hotel deal volume reached HK$11.3 billion (US$1.4 billion) year-to-date, compared with HK$6.3 billion for all of 2025.
The players
Raffles Family Office
A Hong Kong-based family office whose chief investment officer, Ken Peng, comments on investment strategy.
Colliers
A global commercial real estate services firm whose head of capital markets, Thomas Chak, comments on market activity.
JLL
A global commercial real estate services firm whose Hong Kong senior director of international capital, Daniel Billig, comments on cross-border investment.
Knight Frank
A global property consultancy whose director Tung Ho-Pin and research head Esther Liu comment on private office and market trends.
The details
Hong Kong family offices typically favour markets they know well and avoid heavy exposure to any single market. Some single-family offices focus mainly on equity investments in real estate and high-dividend real estate investment trusts. Advisers say there are currently no signs of a large-scale sell-off in the US real estate market, though some local US markets are seeing supply shortages. Investors are expected to favour Japan and Europe, with Tokyo's office sector forecast to grow.
Timeline
December 2026: expected 0.25 percentage point US Federal Reserve rate increase
2025: family offices held 9 per cent of commercial transactions
Year-to-date 2026: family offices reached 16 per cent of commercial transactions
Through 2027: no further US interest-rate increases are expected after December
By 2027: fiscal policy may tighten, slowing US growth
The Home Front
The expected Federal Reserve increase sits within a broader pattern in which higher rates redirect global capital toward higher-yielding assets and away from some real estate holdings. Family office participation rising from 9 to 16 per cent of commercial transactions marks a notable shift in who is buying property.
If you own or rent near commercial corridors, watch for shifts in local property prices and rental demand as investors reallocate capital. Review any real estate investment holdings with a licensed financial adviser before making changes.
The takeaway
Family offices are becoming a larger force in commercial property, even as interest rates climb. Keep an eye on local market conditions and consult a licensed adviser before acting on investment decisions.
Further reading
Explore more Commercial property news to see how investment trends are reshaping markets worldwide.
Source note: This article includes information reported by South China Morning Post.
