Around Australia, Commercial clearance rates at auction are now about on par with Residential property — averaging at around 50%.
Victoria seems to be leading the way, with Commercial clearance rates for some types of property approaching 70%.
New South Wales is running about six months behind at? around 60%, with firming yields. And Queensland is probably a further 12 to 18 months away in its recovery.
The Adelaide market has delivered solid performance — particularly its retail sector. Whereas, Melbourne’s Industrial sector is certainly rebounding strongly … with growing demand and very little new stock in the pipeline.
Overall, it is well-leased Offices that continue to have the greatest appeal for both Sydney and Melbourne investors.
Bottom line: With vacancy levels falling and clearance rates rising … these are the best indicators you can have for an upturn in the investment cycle.
