Late last year, Citigroup published this chart depicting Australia’s reliance upon export markets within the Asian region.
Clearly, Australia is running well ahead of other western countries, with our exports representing over 6% of GDP to emerging Asia. And this is twice the level it was just six years ago.
[Read more…]
Within CBDs around Australia, the number of whole Office floors available to tenants is falling rapidly.
In the last post, you heard about the general decline in Office vacancy is within the capital cities.
But here, you’re looking at a situation where large corporate tenants will find it increasingly difficult to secure whole floors within quality buildings — according to Savills Research.
While Sydney still has a greater number of full floors available, these should quickly be taken up with increased activity from the finance and insurance sectors.
Bottom Line: This will put upwards pressure on Office rentals around Australia; and underpin good growth prospects for Commercial landlords, over the next 3 to 4 years.
What a difference a year can make to Office markets around Australia.
Twelve months ago, the rest of the world was anticipating double-dip recession.
And white-collar employment was looking rather fragile here in Australia — particularly for Sydney, with its high exposure to the finance industry.
Even so, Melbourne’s office leasing market remained strong throughout all of last year.
[Read more…]
Industrial on the move.
A Knight Frank survey shows around 300,000 sq metres of space was absorbed … bringing the overall vacancy rate down to under 3% for industrial property.
[Read more…]
