Industrial Property Set to Surge

Industrial Vacancy Rates are fallingThe Queensland economy may be slow to recover from all its natural disasters. But it’s Industrial property sector has been quick out of the blocks.

The boom in Queensland gas now has Brisbane with the lowest vacancy rate for Industrial property.

Next comes Melbourne — with Sydney well back in 3rd place, according to a recent survey by Knight Frank.

And increasing demand will put further upwards pressure on rentals … thereby, encouraging more developers into the market. [Read more…]

OK … What’s Going On?

Last weekend in the Financial Review, Andrew Clark began his article (on page 52) with the words:

“Australians don’t know if they’re in the middle of a pause that refreshes or the dullness before the deluge.”

That about sums up the general feedback I am receiving at the moment, from clients and colleagues alike.

Clark felt this probably stems from a combination of …

  • a lack of Federal leadership,
  • declining retail turnover,
  • poor flow-on from the mining boom and
  • the spectre of financial defaults overseas.

Presumably, this was behind the RBA’s decision to keep the cash rate on hold until next month — pending more economic data in the coming weeks.

On the plus side …

The IMF predicts solid growth going forwardAccording to the IMF … in spite of all the recent turmoil, the outlook for global economic growth appears quite rosy moving into the new financial year. [Read more…]

Rates on Hold … For Now!

Inflation Watch
Yesterday, the Reserve Bank left the cash rate unchanged at 4.75%. And these graphs will help to explain their current dilemma.

For the time being, the RBA’s focus is upon “inflation excluding volatile items” — mainly because of the various natural disasters, both here and overseas. [Read more…]