Commercial Real Estate is a Market on the rise in Australia. Sydney is ranked in the top 5 in the world when it comes to invest offshore.
Is now the best time to invest in commercial property and look forward to a generous income to retire on?
As supply dwindles yields compress on the back of rising prices and a transparent economy in the stable Aussie market continues to attract local and international investors alike. The main reasons the market is so hot right now is undoubtedly a combination of low-interest rates, falling Aussie dollar, pressure from off-shore buyers, capital groups and superfunds acquiring assets.
Office: Quite a few things to consider here in particular lift access natural light, aircon parking and amenities. Traditionally strata titled in low to high-rise buildings operational costs are what you need to concern yourself with here. Like all Strata, a healthy sinking fund is a must . Tread carefully the office environment and dynamic has changed post covid and will continue to evolve.
Industrial: Position is key here with access to major roads and rail coupled with a high clearance modern facility with warehousing and office at the right percentage. With the rapid shift to high volume demands of online fulfillment and diminishing manufacturing across the board High clearance warehouse is still highly sought after.
Retail: successful retail hubs may be existing or emerging and are usually located in areas with high population growth surrounded by young families and adults that have the capacity to spend.A good rule of thumb look at the Tier One Retailers (Coles, Woolworths, Bunnings and where they are making huge investments they know their demographics well.
Before you move forward with your purchase be sure to consult a property manager, accountant and lawyer with expertise in commercial property. At Noonan Real-estate we can help with everything from financing your investment to advice on compliance and due diligence.
