Archives for April 2010

Is Saving Back in Fashion?

Presumably as a result of the recent global turmoil, Australia’s savings rate jumped to 4% of income during last year. And that is a major change from three years ago — when spending outpaced our income growth.

Savings

Savings

As we emerged from the financial scare, our savings rate peaked at 6.3% in mid-2009; and was running at around 2.3% by year’s end. Nonetheless … still well above what you saw during the past 10 years.

Recently, the RBA estimated that household wealth grew by just over 11% last year to reach around $610,000 on average. And our real disposable income grew by a respectable 3.5% as well.

Both of these are on par with the boom-time highs of 2007.

h3. For Commercial Investors …

Many consumers seem to have ignored the RB A’s recent rate rises.

Although, with overall household debt and still very high levels … you are likely to see spending ease, and this will then start to affect specialty retailers — like fashion, footwear and accessories.

However, most food outlets (such as grocers, cafes and restaurants) should continue to enjoy strong demand … driven by the nation’s love affair with TV shows like MasterChef.

It seems cooking and eating out are relatively low-cost pleasures everyone can enjoy — even when times are tough.

Only 2 Left …

Remember those 7 small Office Investments I mentioned in South Yarra, during last week?

Well, only 2 of them now remain — because, five were snapped up and went straight to contract.

Office Outlook

Office Outlook

I had thought the others were to be taken by a couple of investors in Shanghai. But they probably needed to see them first.

Therefore, you still have a chance to snare one of these top-class, inner-city Office Suite for between $200,000 and $650,000 … provided you can move fairly quickly.

“Things Can Change So Quickly”

Share of Trade

Share of Trade

Have you stopped to think just how things have changed over the past 25 years?

Just take a look at the global trade figures for the United States, Japan, Germany and Britain.

After the United States, China is now the world’s largest economy. However, it is currently the largest exporter; while being the second-largest importer.

Here’s a cunning question you might care to pose at your next dinner party.
[Read more…]

South Yarra … Amazing!

Location Plan

Location Plan

If you haven’t been there for a while, you’ll be simply astounded at the Commercial transformation going on — between Chapel Street and the South Yarra Station.

9 Yarra Street

9 Yarra Street

Anyway, I’ve just been given access to several newly-tenanted Office Suites at 9 Yarra Street — which I presented to a select group of Clients, only yesterday.

And they’ve started snapping them up.

Since putting the details up on a web page for easy access … two of the Suites have sold. And three more have been placed “Under Reserve”.

And so, if you’re looking to secure a great little investment in the $200,000 to $600,000 price range … there are now only a few left!