Insider Tips to Help You Discover How to Succeed with Commercial Property
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AN ARTICLE in the Weekend Financial Review (Page 39) opened with … “Macquarrie Group, a bellwether for the strength of the office leasing market, is expanding.”
And this clearly accords with a recent report released by BIS Shrapnel, which confirmed the Office recovery would be stronger in “service and trade exposed markets like Sydney and Melbourne, but weaker in the mining-based markets such as Perth and Brisbane.” [Read more…]
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THE RBA RECENTLY confirmed a neutral bias, when it announced its latest decision to keep the official interest rate on hold.
Inflation appears to be relatively steady — and still well within the RBA’s stated band for comfort.
Furthermore, the feedback from the Residential market is that house prices in Sydney and Melbourne now appear to be levelling out.
The RBA was keen to see the Residential market slow somewhat. However, if that doesn’t remain the case, it may need to look to increase in interest rates. [Read more…]
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WHERE ARE WE right now? And what actually determines the Cycles for each sector?
As it happens, most people believe every sector is quickly affected by interest rate movements. Whereas, that’s not strictly true.
And where interest rates do have an effect … the actual timing of that also varies. [Read more…]
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HAVE YOU NOTICED how people are generally now acting in a far more positive manner. And that’s simply because they are starting to feel “wealthy” again. [Read more…]
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FURTHER EVIDENCE of an underlying strength in the Commercial property market is now provided by the latest IPD/Property Council index.
During 2013, you saw investors (both local and overseas) stride out from the shadows of the Global Financial Crisis. And as this graph confirms, every sector has displayed a healthy improvement in selling yields. [Read more…]
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THE PROPERTY COUNCIL of Australia recently released its latest survey — for the six months to January 2013.
It reports that the national Vacancy Rate for CBD offices has increased slightly to 10.4%. However, that hardly tells the whole story. [Read more…]
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COMMERCIAL PROPERTY stands to benefit from the recent improved business trading figures — which have soared to a 2-year high. And these now fall into line with the NAB Survey’s confidence levels.
As such, many forecasters believe these latest figures (together with the growth in house prices over the past 12 months) now reflect the underlying strength of Australia’s post-mining economy.
Therefore, further interest rate reductions expected by the RBA are unlikely to occur any time soon — if at all. [Read more…]
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THERE HAS BEEN a whole lot of negative talk recently about the detrimental impact of the Car Industry leaving Australia.
And clearly, our hearts go out to all the affected workers and their families in car manufacturing and those related component suppliers.
Most of us cannot even begin to imagine the shock and surprise they are now feeling — particularly right on Christmas.
And yet, if you just focus upon the likely impact on the Australian economy … much of the commentary can be seen as misguided. [Read more…]
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FOR THE PAST month or so, I’ve been working behind the scenes to produce this free App … the Hi-Return Filter. And it was released only last week.
You see over the years, I have noticed how even seasoned investors can sometimes make subjective judgements, about the potential of certain properties.
What this App does is take your 8 Investment Objectives and neatly combine them with your 12 Buying Criteria. And then, create an inter-active matrix … which allows you to objectively shortlist your potential properties. [Read more…]
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THIS CHART APPEARED as part of a recent article in the Financial Review, by Mercedes Ruhl (30 October, page 41).
The article reassured investors that the anticipated short-term surge in sublease space (within Australia’s CBD Office markets) has simply not eventuated.
“Sublease space spikes at times when the economy is weak and business confidence is low because companies are restructuring and downsizing.”
Furthermore, the article suggests the overall amount of sublease space is expected to fall sharply over the next few months — following the post-election improvement in business confidence.
And of all the capital cities, the CBRE research shows Melbourne has provided the greatest improvement over the past year. [Read more…]
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YOU MAY RECALL several blogs in the past about Baby Boomers … explaining the effect they will have upon the property market — both Residential and Commercial.
In 2005, I warned investors that: If you hadn’t sold your traditional inner-city family home by 2010-11 … you had better be prepared to hold it until 2025.
My reasoning for this was NOT that there would be any fewer buyers. Rather, they would be five times as many of these homes on the market — as baby boomers sought to downsize en masse. [Read more…]
WITH EVERY NEGOTIATION, you always need to be thinking on your feet. And here are several simple Tips to help you do just that.
WHEN YOU EMBARK on your journey as a property investor, it can be overwhelming – with a flood of information and diverse opinions. To help simplify the process, here are five essential tips for new (and seasoned) investors.
IT DOES NOT MATTER whether you’re an investor or an owner-occupier, there are several important factors to consider when purchasing a commercial property to ensure you make the right choice.
In a previous article, I shared a handy App to assist you in shortlisting potential properties. If you haven’t already downloaded it, simply click on the HiReturn Filter over on the right, to install it on your tablet or mobile device.
THERE IS A BELIEF among many experts that a surge in the stock market typically precedes a recovery in the commercial property market by about six months. And the start of this year saw equity markets gaining some momentum.
I HAVE BEEN ASKED countless times about the secrets to a successful negotiation. And I want to share with you the key elements to help make your negotiations effective.
But first, just watch this short video to gain a quick understanding of these three essential elements that form the foundation of every negotiation.
If you’re new to investing, you might be wondering if it’s possible to manage your own commercial property. The short answer is “yes”, but only if you know what you’re doing.
It’s important to note that owning a commercial property comes with certain legal responsibilities, particularly when it comes to compliance with Essential Services requirements under current Building Regulations.
The current trends in the business have made it clear that office landlords have to cater to the needs and preferences of their tenants. Building owners and managers (who understand and meet these demands) will be able to command higher rents and reduce vacancy rates.
To expand on this, here are four key tips to help attract quality tenants.
