- Co-living emerges as a key growth opportunity amid rising demand for affordable and flexible rental housing
- Office and hotel conversions gain momentum as investors seek alternative routes to expand Living sector supply
- Singapore’s strong ranking was driven largely by domestic investor
Singapore ranked third among Asia Pacific's (APAC) preferred Living investment destinations as investors prepare to deploy an estimated US$33.2 billion into the sector over the next five years, according to Cushman & Wakefield's inaugural APAC Living Investor Survey 2026. The findings highlight growing investor interest in co-living and conversion opportunities, driven by demand for flexible rental housing and a shortage of institutional-grade Living assets in Singapore. Singapore's strong ranking was driven largely by domestic investors, underscoring confidence in the market's long-term growth prospects.
Source: Cushman & Wakefield
Investors are increasingly looking beyond traditional residential strategies towards operational Living sectors that offer long-term structural demand and defensive income characteristics.
Conal Newland, Cushman & Wakefield’s International Director, Head of Living, APAC, said, "The Living sector has reached an important inflection point across APAC. What was once considered an alternative investment strategy is increasingly being viewed as a core institutional asset class, supported by resilient demand fundamentals, defensive income characteristics and strong structural growth drivers. With 85% of respondents planning to increase Living investment over the next five years, it points to growing confidence in the sector’s long-term investment fundamentals and ability to deliver stable returns through market cycles."
Co-Living Draws Growing Investor Interest
Across APAC, co-living ranked as the second most targeted Living segment, ahead of purpose-built student accommodation and other operational residential sectors. Its affordability proposition, smaller-unit formats and operational flexibility are making it increasingly relevant in gateway cities such as Singapore, where affordability pressures, changing lifestyle preferences and demand for greater rental flexibility continue to drive adoption.
The emergence of established operators and professionally managed platforms is also strengthening investor confidence, positioning the sector as an increasingly attractive avenue for Living investment.
Josh Rose-Nokes, Director, Living Research, APAC at Cushman & Wakefield, said: "Co-living’s high ranking among investors is notable given that it remains a relatively small component of most Living portfolios today, highlighting investor expectations for future growth and for the segment to become an increasingly important component of Singapore's rental housing landscape. Rising affordability pressures and changing tenant preferences are driving demand for flexible housing solutions, while a growing pool of experienced operators is helping institutionalise the sector. These trends are making co-living an increasingly attractive proposition for both investors and occupiers."
While investor demand remains strong, the supply of institutional-grade Living assets continues to lag demand across much of the region. The survey found that 73% of respondents are actively considering repositioning or change-of-use strategies, highlighting growing interest in office and hotel conversions as a means of creating new Living stock.
This trend is particularly relevant in Singapore, where limited land availability and development constraints are prompting investors to explore alternative routes to market. Office and hotel conversions are becoming an increasingly important source of Living supply as investors seek ways to create institutional-grade stock and meet growing demand for operational residential assets.
Investor demand for local expertise is also rising. More than half of respondents indicated a preference for managing Living portfolios through local specialist partners, reflecting the growing importance of experienced operators, local market knowledge and operational capabilities in delivering successful Living strategies.
Industry views echo the survey findings that the Living sector is becoming an increasingly institutionalised asset class, supported by growing demand for professionally managed accommodation and innovative approaches to expanding supply. These themes closely reflect the dynamics shaping Singapore's evolving Living sector and reinforce the survey's findings on investor demand, operational expertise, and alternative supply strategies.1
Josh Rose-Nokes added, "What stands out in Singapore is not a shortage of investor capital, but a shortage of investable product. Investors increasingly want stabilised, income-producing Living assets, yet institutional-grade supply remains limited. As a result, conversions, repositioning strategies and partnerships with specialist operators are becoming increasingly important routes to gaining exposure to the sector. Despite these constraints, Singapore remains one of APAC's most attractive Living investment destinations, supported by strong rental demand, a transparent regulatory environment and growing domestic investor confidence."
About the Survey
The inaugural APAC Living Investor Survey 2026 draws on insights from institutional investors, fund managers, listed property groups and specialist Living-sector participants across APAC, representing approximately 224,000 units or beds. For the purposes of this survey, diversified respondents refer to investors with exposure across multiple real estate sectors and exclude Living-only specialists. The survey was fielded in Q2 2026 during the Middle East hostilities and provides insights into investor sentiment, capital allocation trends and investment priorities across the APAC Living sector. Estimated five-year capital deployment figures were derived from banded responses using midpoints.
For more information and to download the report, please click here.
1APREA TV: The Investment Case for the Living Sector, https://www.youtube.com/watch?v=HusiC13cBq4
About Cushman & Wakefield’s Living Platform
Cushman & Wakefield’s Living platform provides integrated advisory services to investors, developers, and operators across the residential investment spectrum, including multifamily, build-to-rent, purpose-built student accommodation, co-living, and senior living. The team delivers integrated advisory across capital markets, valuation, development consultancy, and asset strategy, supported by proprietary research and a region-wide Asia Pacific network, as well as dedicated research and consultancy professionals who provide strategic insights and execution capabilities across the region. Click here for additional information.
