Investment in the Australian commercial property market has surged to record levels over the past twelve months according to Colliers International.
Data included in the Australian Investment Review reveal that investment has jumped by 19 per cent year-on-year to a total of $28.88 billion.
John Marasco, the Managing Director of Capital Markets and Investment Services at Colliers International, said, “Transaction volumes across the industry are up, as both offshore and domestic investors demonstrate a continuing strong appetite for Australian commercial property.
“The low interest rate environment, the falling Australian dollar and our stable economy have combined to create optimum conditions for Australian commercial property.”
Mr. Marasco also stated that the climb in Australian commercial property investment builds upon the recent mounting interest in the sector in keeping with the increasing interest of foreign capital.
“The strong performance of the sector in recent years, and the potential for continuing growth have made more offshore investors consider the Australian market for the first time.
“At the same time, conditions for domestic investors have also been positive, so together demand for commercial property assets is at an all-time high.”
The data from Colliers indicates the increase in demand for Australian commercial property has put Sydney firmly into the position of being the third most popular destination for offshore investors in the world, trailing London and Manhattan and just ahead of Shanghai and Paris.
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