Insider Tips to Help You Discover How to Succeed with Commercial Property
FOR WHAT IT’S WORTH … my view is that there is growing evidence to suggest inflation will not be as sticky as many pundits would have you believe.
Despite a recent surge in residential rentals, Australia’s inflation seems to have reached its peak and is expected to rapidly recede. And that’s evidenced by the June figures just out, showing that inflation has fallen from 7% to 6% per annum, over the last quarter. [Read more…]
AUSTRALIA HAS ALWAYS BOASTED a solid immigration rate – to the point, where about 30% of our population has actually been born outside the country.
During the pandemic, immigration numbers fell dramatically. As a result, vital skills shortages emerged among building & construction, hospitality and rural workers.
Over the years, the best-performing countries (where Australia stands out) were generally resource-rich, new-world countries with strong population growth and a good record with corporate governance. [Read more…]
ATTRACTING GOOD TALENT is proving to be a real issue for many businesses, with unemployment at a near 50-year low. Plus, one of the major challenges right now is how to actually lure staff back to the office. [Read more…]
IT MAY SURPRISE YOU to learn that new businesses grew at a record rate during the last financial year. And that’s because COVID-19 served up a whole host of new opportunities among the economic turmoil.
Apparently, there were 365,500 new start-ups along with 277,700 established businesses closing shop – delivering a net gain of 87,800 new businesses.
As encouraging as that may sound, these newcomers will face challenges going forward – given they began in a climate of low interest rates and government support.
Nonetheless, they will clearly add to the demand for suburban office space – as workers seek to avoid the grind of a long daily commute.
Add to that the large CBD firms currently decanting whole departments out to the suburbs – to also be closer to where their employees live.
Bottom Line: Every change (however disruptive) brings with it seeds of opportunity. Sometimes these are hard to recognise – but highly profitable, for those who do.
ON THE FACE OF IT … there’s no logical reason why you would.
Unless of course, you were intending to occupy the property when the current lease expires. In which case, the initial low rental is really of little (or no) importance to you. [Read more…]
YOU MAY RECALL back in May and July, I foreshadowed a quick recovery would occur – as soon as we emerged from lockdown.
You see, what we’ve just been through, is a medical crisis with financial implications. NOT a total financial collapse – like we had during the GFC.
As such, “Demand” didn’t disappear … it simply got deferred. And you’ve already observed that with consumers now engaging in “Retail revenge” – as depicted in the graphic below (AFR, front page: 3 Dec 2020).
During the pandemic my clients seemed to fall into two camps:
Already you are seeing eager buyers re-entering the property market (both residential and commercial) – with prices on the rise once more.
Therefore, those who did buy during the pandemic are now having their faith vindicated. And now, the strength of this renewed demand is bringing more properties onto the market.
Not all the properties coming onto the market during November & December can be absorbed before Christmas.
Naturally, this will make those vendors somewhat unsettled – because the commercial market doesn’t officially reopen again until February/March.
So, if you are cashed up and able to move quickly … there should be a number of good choices for you early in the New Year.
Bottom Line: What I’m planning to do is compile a list of those unsold properties for my clients. And then, we’ll quietly sift through these opportunities together – to help clients secure several genuine bargains.
If that could be of interest to you … just let me know.
RIGHT NOW everyone is rather confused because of COVID. And what I generally find is that when investors are confused … they tend to do nothing.
Yet despite the dire predictions of market collapses, that’s NOT what has occurred. Sure, the share market has been rather volatile. However, the property market has basically held up well. [Read more…]
BEFORE COVID, Australians worked less from home than their counterparts overseas. However, now things have apparently been reversed.
And even though Australian office workers say they’ve been far more productive at home … there is a keenness to return to an office environment. [Read more…]
DESPITE A RECENT surge in positive COVID-19 cases for Victoria, the infection rates detected by its testing blitz have remained at a very low 0.2%.
And so, that would suggest the virus is not widespread within the community.
Furthermore, there hasn’t been any marked increase in the number of cases actually requiring hospitalisation.
SEVERAL CLIENTS have been asking about how long until things start to get back to “normal”. And what changes investors need to watch for, after we emerged from lockdown.
During times of economic uncertainty, you should focus on the underlying fundamentals driving demand and investment. And these still remain strong.
In my view, you should see a stronger than expected recovery – provided various states don’t unnecessarily delay the steps needed to restart the economy. [Read more…]
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THE QUESTION IS: Have the major corporate tenants been “sold a pup”? Or have their Financial Controllers merely been focusing upon cost savings, rather than employee productivity?
WHETHER YOU ARE an investor or an owner-occupier, there are important factors to consider when purchasing a commercial property.
In a previous article, I mentioned a helpful App to assist in shortlisting potential properties.
INDUSTRIAL ESTATES are often strong investments due to their versatility and spaciousness, making them ideal for accommodating diverse industries and businesses.
Not only are industrial properties lucrative investments, but they also generate significant depreciation deductions.
Even seemingly ‘empty’ properties hold valuable deductions – which is why this article delves into industrial estates and highlights hidden deductions.
SO, YOU HAVE decided to take the plunge into Commercial property investing. Smart move! But where do you start?
Well, as any serious investor will tell you, having a team of trusted experts by your side is essential for success. These are the people who will guide you and help you navigate the complex world of property investment.
AS THE COMMERCIAL LANDSCAPE is constantly changing, it’s essential for businesses to remain up-to-date with the latest policy developments that may impact their financial strategies.
On 30 June 2030, temporary full expensing ended. Consequently, the Small Business Energy Incentive was introduced and the Instant Asset Write-Off was temporarily extended to a lower level.
FOR WHAT IT’S WORTH … my view is that there is growing evidence to suggest inflation will not be as sticky as many pundits would have you believe.
Despite a recent surge in residential rentals, Australia’s inflation seems to have reached its peak and is expected to rapidly recede.
And that’s evidenced by the June figures just out, showing that inflation has fallen from 7% to 6% per annum, over the last quarter.
AI IS POISED TO HAVE a significant impact on commercial property investing by revolutionising various aspects of the industry.
Here are 7 ways in which AI is expected to affect commercial property investing.
“SUSTAINABILITY” IS NO LONGER a buzzword, but a vital element of any responsible business practice.
In this article, we’ll discuss how businesses and owners of commercial buildings can improve their sustainability and use depreciation deductions to help recoup costs.
