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Vol 12. No. 170

Landsburys Independent Accreditation Reports

Economic Overview

	Current	+/-	Movement
$AUS/$US	105.94	-0.10
Cash Rate	4.75	Steady
90 Day Bill	4.85	+0.05
10 Year Bond	4.267	-0.051
ASX 200	4188.0	+4.6

NEW SOUTH WALES

• Australian Property Trust will spend $4 million to convert the Rydges Hotel, Wollongong into a 90-bed private psychiatric hospital pending development approval by Wollongong City Council.
• The 70 room hotel was acquired in December 2004 for $8.9 million and covers 2,100m² of site area.

• Four strata at units 18-20 Park Street, Mona Vale have sold for $3.765 million reflecting an initial yield of 6.9%.
• The units are leased to the Commonwealth Bank until November 2016.

• A building currently leased to ANZ Bank until May 2015 at 65 Main Street, Bankstown has sold for $1.192 million reflecting an initial yield of 6.61%.

VICTORIA

• Propertylink is considering acquiring the Olderfleet Buildings at 477 Collins Street, Melbourne from Australian Unity.
• The property has net lettable areas of approximately 12,000m² of commercial space and 800m² of retail space.
• The deal would reportedly reflect an initial yield of 8%.

NATIONAL PROPERTY MARKET

• Research provided by the REIA indicates that Australian median house prices have risen by 1.2% to $541,188 for the June quarter.

• Research indicates Melbourne, Brisbane and Sydney achieved rental growth of 6.8%, 3.3% and 0.9% respectively for industrial properties over the 2010-2011 year.

• Recent research indicates strong demand for sub-regional and neighbourhood shopping centres with 38 centres sold reflecting a combined value of over $1 billion for the year so far.
• This result is 37% higher than what was achieved throughout 2010.
• According to the research, in the four months till the completion of 2011, it is anticipated that a further 60 sub-regional and neighbourhood centres could be sold given the current rate and the stronger investment activity which usually occurs in the second half of the year.