Commercial property investment hits new record
Foreign investment in Australian commercial real estate has touched a new record, with overseas interests buying one in three non-residential buildings sold.
A record $28.1 billion was spent on commercial real estate last year, with most of that spent on office space, research from property group Dexus found. The proportion of foreign investment in commercial property also hit a record in 2014, comprising 32 per cent of all transactions.
Chinese investors were behind the largest office space transactions during the December quarter, buying two properties in central Sydney for $390 million and $425 million.
To capitalise on the increased numbers of buyers coming from the People’s Republic of China, Raine&Horne Commercial South Sydney / Marrickville lists all properties on Juwai.com, the leading Chinese property portal. This website records has 1.5 million visitors to its website per month with 89% of visitor’s from the People’s Republic of China.
Dexus's general manager of research Peter Studley said foreigners were attracted to Australia's stable economy. "Foreign investors like Australian real estate due to the high income return, the quality of the assets and Australia's relatively stable economic growth outlook," he said.
Mr Studley forecast another good year for commercial property, which includes office, industrial and retail space.
"Transaction activity is expected to remain strong in 2015," he said.
With the increased levels of foreign investment in 2015, it is important to choose a commercial property agency that is equipped to handle this level of interest.
Raine&Horne Commercial South Sydney / Marrickville is the strongest real estate group in Sydney’s Inner West and Easter Suburbs.
They are part of network of 35 specialist commercial agencies across Australia, with a further 30 international offices in key regions across the globe. This benefits you by attracting and engaging the largest and most diverse range of commercial property purchasers possible.
Additionally, Raine&Horne Commercial South Sydney / Marrickville, has a database which exceeds 3,000 active buyers. These clients have inspected or enquired about commercial property for sale or lease within the last 2 months. There is also the further benefit of the extended database of 15,000 clients who have been past buyers, buyer enquiries, past tenants, past tenant enquiries, landlords, high net worth investors and the like.
If you would like to discuss the above article in further detail or would like to discuss your commercial property needs, call Raine&Horne Commercial South Sydney / Marrickville on (02) 9572 8855 and speak to one of our experienced, connected and highly skilled property agents.
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This article was originally published as ‘Foreign commercial property investment hits new record’ by the Daily Telegraph on January 22, 2015 at 6:45PM.
To view the article in its original form click here: http://www.dailytelegraph.com.au/business/breaking-news/foreign-commercial-property-investment-hits-new-record/story-fnn9c0gv-1227193669379