Tuesday, 29th August 2017

National

Foreign Investment Update (SMH)

• Singapore is now the largest foreign investor in Australian property.

• Chinese Investment has dropped 69% in the first half of 2017 on a like-to-like basis.

Housing Affordability Update (AFR Pg. 3)

• According to a report released by the Committee for Economic Development of Australia (CEDA); housing affordability is likely to stall for 40 years.

• Demand is being driven by population growth, negative gearing and foreign investment flows – a lack of adequate supply is the primary driver.

House Price Update (AFR Pg. 3)

• According to a research report by the CoreLogic Group; Sydney house prices are set to remain stagnant over August – driven by an increase in listings – setting up a buyers’ market.

• Melbourne house prices will rise according to the same report; driven by an increase in the price of houses over apartments.

New South Wales

Sydney Work-Space Leased (AFR Pg. 31)

• Scots English College has opened a new campus after signing a 1200m² 3-year lease on the fifth floor at 127 Liverpool Street, Sydney.

• The fitted-out space has classrooms, computer rooms, staff rooms and offices.

• The deal was struck at a gross rent of $500/m².

CBD Business’s Denied Compensation (AFR Pg. 31)

• Retailers along George Street will not receive financial compensation for disruptions caused by the Light Rail Construction.

Victoria

Altona North Warehouse Leased (AFR Pg. 31)

• Storage Material Handling Group has agreed to terms on a 16,299m² warehouse on a 7-Hecatre site at 43 Toll Drive, Altona North for $1.29 million per annum (Net).

• The site has extensive hardstand and was leased on a 3-year term.

South Yarra Retail Property Leased (AFR Pg. 31)

• Lounge Lovers has leased a 325m² retail space from the Sunway Group at 507 Chapel Street, South Yarra for $1000/m² (Gross).

Prahran Office Leased (AFR Pg. 31)

• Catapult Australia has leased a 1471m² Office at 75 High Street, Prahran for 4 years with options for around $350/m² to $370/m² (Net).

Queensland

Carseldine Fuel Station Sold (AFR Pg. 31)

• Caltex has acquired a 1931m² Petrol Station at 1754 Gympie Road, Carseldine from the Comino family for $18.3 million ($9’477/m² GBA), reflecting a 6.1% yield.

• The property is situated on a 1.66-hectare site.

• Caltex’s purchase includes the Star Market Business as well as 5 other retail/F&B tenancies.

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