Australia

The CBD continues to see tenants centralising from suburban markets.

The healthcare and education industries have only contributed to 2.5% and 5.0% of leasing demand, respectively. 

The deterioration was evident in all capital cities over the five months to February 2021.

Gross take-up increased 79% to 1m sqm in 2020.

Blame it on the weak outlook amid market uncertainties.

This is 31% lower than the 10-year annual average.

Global capital investment volume to this asset class slipped by only 7% in 2020.

Volumes in Australia dropped by more than half in 2020.

The average prime yield midpoint in Melbourne compressed by 25 bps in 4Q20.

Canberra owes its long-term resilience to these 2 factors.

Inner city areas have higher vacancies, whilst those in outer ring suburbs remain low and rents for houses are growing.

Electrification is a crucial step to decarbonise the sector.

Perth is expected to lead the Australian housing market’s recovery this year.

One in five ultra rich individuals in APAC plan to buy a new house this year.

Commitments for owner occupier housing rose 10.5%. The January 2021 Lending to Households and Business figures released by the Australian Bureau of Statistics show that the value of new loan commitments for housing grew for the eighth consecutive month and reached another record high, according to the Real Estate Institute of Australia (REIA).

They were motivated by low interest rates and other incentives.