The PERE Podcast Regional retrenchment: ‘Financial engineering trumping local knowledge is over’
Nov 28, 2025
24:58
This episode discusses ICG’s retrenchment from Asia, following a line of western managers doing the same. We also speak to Gaw Capital, chairman of Goodwin Gaw, about his views on the current trend and the firm’s own renewed focus on the region.
Last week, PERE revealed plans by Intermediate Capital Group to shut down its Asia real estate business. The London-based firm, which manages approximately $7 billion of real estate assets, only expanded into the region three years ago. Its withdrawal follows a number of private real estate investment management businesses and investors announcing similar plans, a trend of deglobalization being driven by geopolitical forces. While this is occurring generally, the impact of deglobalization on Asia is especially pronounced. Other recent examples of western managers backing away from the east include AEW, which has halted its flagship regional fund series, and the Ontario Teachers’ Pension Plan, which has disbanded its Asia real estate team. Discussing these issues with The PERE Podcast host Lucy Scott is PERE’s Asia senior reporter Christie Ou. Listen as they dissect the trend, starting with Ou’s reporting on ICG’s plans. PERE’s editor-in-chief Jonathan Brasse also calls upon Goodwin Gaw, co-founder and chairman of Hong Kong-based private real estate manager Gaw Capital, to share his views. He tells PERE: “The days of financial engineering trumping local knowledge are over”, adding how managers with deep local knowledge and presences are best equipped to prevail given how wider forces have reshaped the opportunities in private real estate markets. Gaw also reflects on his own firm’s decision to stop offering more institutional products in western markets as part of a strategy to retrench to Asia.
Last week, PERE revealed plans by Intermediate Capital Group to shut down its Asia real estate business. The London-based firm, which manages approximately $7 billion of real estate assets, only expanded into the region three years ago. Its withdrawal follows a number of private real estate investment management businesses and investors announcing similar plans, a trend of deglobalization being driven by geopolitical forces. While this is occurring generally, the impact of deglobalization on Asia is especially pronounced. Other recent examples of western managers backing away from the east include AEW, which has halted its flagship regional fund series, and the Ontario Teachers’ Pension Plan, which has disbanded its Asia real estate team. Discussing these issues with The PERE Podcast host Lucy Scott is PERE’s Asia senior reporter Christie Ou. Listen as they dissect the trend, starting with Ou’s reporting on ICG’s plans. PERE’s editor-in-chief Jonathan Brasse also calls upon Goodwin Gaw, co-founder and chairman of Hong Kong-based private real estate manager Gaw Capital, to share his views. He tells PERE: “The days of financial engineering trumping local knowledge are over”, adding how managers with deep local knowledge and presences are best equipped to prevail given how wider forces have reshaped the opportunities in private real estate markets. Gaw also reflects on his own firm’s decision to stop offering more institutional products in western markets as part of a strategy to retrench to Asia.