1. New Zealand: Hotel deal among nation's largest of 2025
Kuala Lumpur, Malaysia-based YTL Hotels acquired the 225-room Hotel Indigo Auckland, marking New Zealand’s second-largest hotel deal of the year.
The $92.4 million purchase from NFF NZ Operations Pty Ltd. also marked the buyer’s entry into the growing New Zealand hospitality market, according to a statement from YTL Hotels. The YTL investment “is a clear vote of confidence in our visitor economy and our cities,” New Zealand Prime Minister Christopher Luxon said in a statement.
2. UK: Hotel operators lay out how budget process affects the industry
Shifting government budget priorities, combined with lingering gaps in bid and ask prices for hotel properties, are creating uncertainties for some United Kingdom hospitality operators and investors, according to industry professionals gathered for a roundtable hosted by Knight Frank and moderated by CoStar News.
There was a lively debate on topics including what the Chancellor should introduce in the upcoming Budget, and challenges that could result. Panelists said they are watching closely for changes in tax policy and interest rates, among other areas.
3. France: Retail property investment slows
French retail property investment has lost momentum in recent months, as economic uncertainties create lingering caution among potential buyers and reduce the volume of big-ticket transactions, according to consulting firm Up! Real Estate.
Analysts said there were six deals larger than €100 million in the first nine months of 2025, including just one classic large-scale transaction — the acquisition of the Saint-Genis 2 shopping center by Mercialys for €136 million. That compared with 10 such deals in the same period of 2024.
4. Germany: Prime locations in big cities defy office rent decline
Germany’s big-city office rents are generally stagnating or falling, with exceptions that include the most modern and centrally located spaces, especially in Frankfurt, according to an analysis by real estate trade group IVD. Older properties in peripheral locations in big cities “are coming under increasing pressure,” the group said.
The IVD study found Frankfurt rents for modern offices rose at an annual rate of 7% in the first half of the year. In the eight largest German cities overall, rents for modern offices in good locations rose by an average of 6% while rents for more basic spaces were essentially unchanged in Munich, Stuttgart and Leipzig. Basic-space rents fell in Düsseldorf, Hamburg and Berlin.
5. Canada: Allied REIT earnings hit by Toronto’s slow office recovery
The back-to-office trend has not yet boosted the fortunes of Allied Properties Real Estate Investment Trust, as the company reported that increased interest costs and slow leasing activity in downtown Toronto led to a net loss of $113.4 million in the third quarter.
While the REIT said it is seeing “strong interest” in office leasing in Montreal and Vancouver, deal activity in Toronto is taking longer to recover as tenants delay expansion and relocation decisions. This is happening despite return-to-office mandates handed down at major firms such as RBC, TD and Rogers Communications and the Ontario government.
6. US: New York, New Jersey rise in property investment ranking
New York and New Jersey were among several Northeast markets bolting to the top of a list of promising areas to watch next year for real estate investment and development, while Dallas-Fort Worth maintained its No. 1 spot.
Jersey City, New Jersey, soared onto the rankings of the 10 best markets, landing at No. 2 in the annual “Emerging Trends in Real Estate” survey by the Urban Land Institute and professional services firm PwC. Brooklyn, New York, Northern New Jersey and Manhattan also catapulted into that group, as Dallas-Fort Worth held on to the top ranking for the second straight year.
This report was compiled from CoStar’s news publications in the United States, United Kingdom, Canada, France and Germany.