Powered by MOMENTUM MEDIA
realestatebusiness logo

Breaking news and updates daily. Subscribe to our Newsletter!

Home of the REB Top 100 Agents
Breaking news and updates daily. Subscribe to our newsletter

Website Notifications

Get notifications in real-time for staying up to date with content that matters to you.

Signs of life in industrial market

By Staff Reporter
04 November 2009 | 1 minute read

The industrial property market looks to be steadily emerging from the economic doldrums, with sales totaling almost $250 million in Melbourne alone.

Advertisement
Advertisement

According to the latest report by CB Richard Ellis, sales totalled $249.1 million in the Victorian capital, most of which occurred in the late second and third quarter.

Research analyst Craig Olde said the late sales proved momentum was building in the market, with owner occupiers and private investors the main buyers.

Defying predictions earlier in the year, few grade A yields had been above 9 per cent.

“More recently, industry opinion was that yields might once again be sharpening back towards 8 per cent, however our survey results are yet to reflect this,'' Mr Olde said.

Three consecutive quarterly surveys had shown an average grade A warehouse yield of about 8.88 per cent, in line with industry opinion.

The sales volumes, although a far cry from the peaks of $1.6 billion recorded in 2006, are still better than expected given the current state of the financial markets.

Signs of life in industrial market
default
lawyersweekly logo

Tags:

Listen to other installment of the Real Estate Business Podcast
Do you have an industry update?

top suburbs

12 month growth
Travancore
49.78%
Timboon
49.57%
Dolphin Point
49.51%
Nyah West
49.42%
Preston Beach
49.29%
Newington
48.97%
Killcare Heights
48.89%
Wundowie
48.77%
Homebush
48.44%
Glenside
48.28%
SEE AREA REPORTS ON SMART PROPERTY INVESTMENT WEBSITE
Subscribe to Newsletter

Ensure you never miss an issue of the Real Estate Business Bulletin.
Enter your email to receive the latest real estate advice and tools to help you sell.