The Middle East conflict is affecting Asia Pacific's commercial real estate due to rising energy costs, inflation, and interest rate uncertainty, impacting logistics, construction, retail, office, and investment sectors.
France urges Israel to halt construction on UNRWA site. US criticizes allies' lack of support. Global oil market faces critical period this summer due to Middle East conflict. Iran controls Strait of Hormuz traffic.
South Korea's Finance Minister Koo Yun-cheol acknowledges the Middle East conflict's impact on consumer prices despite strong exports, vows to stabilize supply chains and prepare a 2H 2026 growth strategy focusing on economic security and easing polarization.
Sainsbury's CEO Simon Roberts has called on the UK government to help ease rising energy costs for farmers, food producers and retailers caused by the Middle East conflict, warning this is the single biggest factor that could keep food prices from rising further. The supermarket group reported a 1.1% increase in annual underlying profits to £1.03bn but warned that profits could fall this year due to the conflict's impact on customer budgets and business costs. Shares slid almost 5% on Thursday, with the company predicting underlying profit of £975m to £1.08bn for the current year.
Centara Hotels & Resorts, operating over 50 properties mostly in Thailand, is adapting its offerings as Middle East conflict disrupts long-haul European travel routes. Chief Operating Officer Michael Henssler noted concerns about worsening conditions, but observed market stabilization. The hotel chain is tailoring services like photo sessions at Koh Samui resorts and late-night noodle bowls at Centara Life properties to maintain appeal.
