The Institutional Real Estate Letter - Australia
March 1, 2014: Vol. 3, Number 1Buy For $65.00 Add to Cart
Retail therapy: The downturn in mining spending could hit consumer confidence and threaten retail assets' role as a defensive play
The Australian stock market posted decent gains, up 15 percent for the year, in 2013, making it the best-performing market in the Asia Pacific region outside Japan. But a lull in spending in the mining industry poses a serious threat to the country’s economic growth.
Diving in: Offshore investors keep dipping into the Australian property pool; what will keep them swimming in 2014?
In 2013, 38 percent (A$8.7 billion) of total commercial property sales in Australia were made to offshore investors. Although this is a slight reduction from 2012, it is unlikely that the number of offshore investors interested in Australian property has diminished.
The 2014 outlook: How can property investors best navigate the Australian real estate market?
During 2013, there were two major announcements in the A-REIT sector: the proposed restructuring of Westfield and the bidding war for Commonwealth Property Office Fund.
A-REITs resurgent: Capital raises and M&A activity surge for A-REITs in 2013
During 2013, the S&P/ASX 200 A-REIT price index trod water with an increase of just 1.1 percent. While better than the declines recorded every year between 2007 and 2011, this is a far cry from the 25.2 percent gain recorded in 2012.
The Australian economy comes of age
Like many nations, the Lucky Country’s demographic challenges are beginning to rear their head.
A first for Australia's student accommodation sector
Niche property can provide an avenue for foreign and local investors seeking to enter Australia’s competitive real estate market, and Singaporean sovereign wealth fund GIC and Macquarie Capital have done just that by forming a joint venture that has acquired a majority interest in student accommodation group Iglu.
Australia lures foreign investors, but not first choice
Australia ranks among the top countries for foreign investment in 2014, taking the fifth spot in a list of the most stable and secure countries and also ranking fifth in terms of countries providing the best opportunity for capital appreciation.