1. Australia: New airport has sparse hotel offerings
A lack of nearby hospitality offerings has some Australian hotel analysts concerned ahead of this year’s planned debut of Sydney’s second airport.
Set to open in late 2026, the new Western Sydney International Airport aims to boost the economy of the growing region with a forecasted doubling of aviation demand over the next 20 years. But Scott Boyes, CEO of management company Trilogy Hotels, said no significant airport-adjacent hotel developments in Western Sydney are planned, except for a 150-room hotel in a nearby business park.
2. UK: JLL sees 2026 commercial investment hike
The United Kingdom’s commercial real estate investment will reach between £43 billion and £48 billion in 2026, up as much as 15% over 2025 as investors respond to improving finance conditions, according to forecasters at brokerage JLL.
Nick Whitten, JLL’s new head of research in the U,K., projected offices would return to being the most invested commercial real estate asset class with around £15 billion or 35% of the total. That would include about £10 billion to £12 billion focused on London, with £3 billion to £5 billion focused on other regions. Whitten said JLL predicts total investment in commercial real estate in the U.K. will reach about £54 billion annually in 2030.
3. France: Accord sets stage for Paris tower renovation
A signed agreement between Paris City Hall and co-owners of the Maine-Montparnasse Tower complex is expected to kick off a long-awaited overhaul of the mammoth 1970s-vintage mixed-use development.
A planned €1 billion renovation is designed to add housing, retail, recreation and civic spaces to the office complex. The project’s architect is opening up the shopping center and breaking up the concrete slab that cut the development off from the rest of the city by designing a promenade lined with 151 trees, an open ground floor and a large central square.
4. Germany: Deal volumes fall short of expectations
The German commercial investment market generated €23 to €25 billion in 2025, roughly in line with the previous year’s figure and lower than expected, according to calculations by international brokerage firms.
Analysts said transaction volumes for office, logistics, and retail properties were close together at just over €6 billion for each category. The final quarter of 2025 was the strongest, with €7.5 billion in deals, due to more realistic price expectations and better predictability of financing, even though financing costs did not fall as significantly as hoped at the beginning of the year.
5. Canada: Investment pours into student housing as enrollments rise
Institutional investors are pouring money into Canada’s student housing in a bet that the government’s decision to cap international students won’t disrupt demand.
Analysts said the strong level of investment reflects the confidence that the need will continue to outweigh supply, even with the number of study permit holders falling to 725,000 in September from over 1 million 20 months earlier. “It goes back to the supply-demand imbalance — the number of demanded beds is outstanding and substantial, and the number of available beds falls short,” Jonathan Turnbill, head of Canada investments at Harrison Street, told CoStar News.
6. US: Microsoft responds to data center criticism with ‘good neighbor’ policy
Microsoft said it will pay more for electricity and use less water to support its artificial intelligence real estate, part of a broader policy rollout after President Donald Trump called for tech giants to foot the bill on higher utility rates from the data center development boom.
The Redmond, Washington-based firm unveiled a plan to pay its own way for utilities, create jobs and add to the tax base of communities without asking for local property tax breaks. It comes during a rising backlash across the country against AI data center construction.
This report was compiled from CoStar’s news publications in the United States, United Kingdom, Canada, France and Germany.