The Era of Multi-storey Industrial Development

AS INDUSTRIAL land becomes scarce and more expensive, you will begin to see more multi-story warehouses emerge.

The first such major project is about to start in Revesby, in Sydney’s west.

George Potter and Singapore developer Roxy-Pacific are embarking upon a $50 million project of over 8,000 m² – comprising 44 industrial and office units over two floors. Plus, 90 self-storage units at basement level.

It’s being driven by the rising cost and short supply of suitable land close to the Sydney CBD.

Bottom Line: This approach is quite normal throughout Asia – where there are a few suitable sites close to urban areas. And it will become more common here in Australia – with online retailers wanting to have their warehouses close to customers, for speedy delivery.

Capital City Office Markets

THE CBD VACANCY rate for Sydney currently sits at 4.1%. And for Melbourne, it’s now at 3.8%.

As you would expect, overseas events have caused some hesitancy in the market. And the Sydney CBD can be rather sensitive to the global economy.

That said, recent reports show local business confidence growing – with stability appearing to return, after the recent election. [Read more…]

8 Key EOFY Tax Tips for Commercial Property

WITH TAX TIME upon us, you’re probably preparing to visit your accountant – to complete your annual income tax assessment.

Getting your tax in order can be an overwhelming task, but when you have a commercial investment property it can seem even more complex. [Read more…]

Your Limited Recourse Borrowing Arrangements

BORROWING THROUGH a Self Managed Super Fund (SMSF) to acquire commercial property has been a popular and attractive strategy over recent years – due to the tax benefits, and ability to minimise personal guarantees.  [Read more…]

Likely Impact of the US/China Trade War on Property

ACCORDING TO JP MORGAN, the expected trade war should only shave about 0.07% off Australia’s GDP over the next couple of years. [Read more…]

The Pendulum Has Swung

WHAT AN AMAZING election result … although, I had always felt it would be a lot closer than everyone thought. Now many people are now asking how the pollsters could have got it so wrong?

In actual fact, they weren’t that far out. Rather, it was more a heavy bias in media coverage which fanned the Labor fever.

So, How DID the Coalition Manage to Win?

[Read more…]

Scrapping Can Boost Your Commercial Property Return

COMMERCIAL PROPERTIES are often renewed and transformed to suit the ever-changing needs of their occupants. 

Scrapping occurs when removed assets and structural elements within a building have a remaining un-deducted value. At the time of removal, as the owner of the asset, you can claim that remaining value as an immediate deduction in that financial year. [Read more…]

A Quick Snapshot of the Commercial Property Market

RECENT RESEARCH conducted by CBRE has confirmed that investors preferred Melbourne over the other capital cities – based upon the strong fundamentals driving rental growth. [Read more…]

What Exactly is a Quantity Surveyor? 

THIS IS A QUESTION often asked by Investors.

A Quantity Surveyor (or QS) is a professional who specialises in estimating the value of construction costs and other assets. And Quantity Surveyors may get involved at various stages: prior to construction, during construction and post-construction.  [Read more…]

Can a Commercial Landlord Refuse Consent to Assign a Lease?

THIS QUERY OFTEN RAISES it’s head … whenever the proposed new tenant is felt to have insufficient financial resources. [Read more…]

Australian CBD Office Market

THE PROPERTY COUNCIL of Australia recently released their Office Market Report for the six months ending January 2019.

Both the Sydney and Melbourne markets have been the strong performers. Although, most capital cities have also seen an improvement in their vacancy rates. [Read more…]