SINGAPORE - The Republic has slipped from first to third place in the latest rankings of Asia-Pacific cities based on their prospects next year in two areas - real-estate investment and real-estate development.
In the rankings published by Urban Land Institute (ULI) and PricewaterhouseCoopers (PWC), Jakarta emerged as the city with the most promising prospects in 2013 for both the rankings.
It is the first time the Indonesian capital has topped the annual rankings, which are into their seventh year.
On the investment scorecard, Shanghai was placed second.
For development prospects, a group of "secondary cities" in China were ranked second. These are second or third-tier cities such as Chongqing, Tianjin and Shenyang.
The rankings, contained in ULI and PWC's Emerging Trends in Real Estate Asia Pacific 2013 forecast, covers 22 Asia-Pacific cities.
In a statement issued out of Hong Kong yesterday, ULI and PWC said that despite continuing global economic uncertainty, real- estate investor sentiment in the Asia-Pacific remained relatively positive.
They said: "However, while steady economic growth, rising incomes and stable or increasing property values are contributing to an overall sense of optimism, the outlook is tempered by concerns among investors that prime assets in key real estate markets in the Asia-Pacific are becoming overpriced."
As a result, markets outside core cities are becoming attractive for investment and development.
This is reflected in Jakarta being named the top choice for both investment and development in the coming year, the statement said.