There’s surging numbers of off-the-plan office developments being marketed in Melbourne to meet rising demand for commercial office space.
The glut of residential apartments that have been going up at a furious pace in Melbourne’s CBD are putting the pressure on commercial space.
The latest Property Council of Australia Office Market Report reveals that office vacancy rates have remained fairly flat nationally. The stagnant office vacancy figures –
Commercial property finance is very poorly understood, and this is a major contributor to poor decisions by investors. The most important thing to know about commercial property loans is that there is no hard and fast rules about factors such as the leverage that is available, costs associated with commercial loans or the lending criteria. In commercial finance everything has to be viewed relative to the strength and size of the particular deal.
Commercial office space in Melbourne’s city fringes are outshining the more central CBD markets.
Australian commercial property is being snapped up by a fresh wave of foreign investors after figures show offshore investment up by 12 per cent in 2014.
Commercial property sales are running hot so far in 2015, with auctions for investments recording a clearance rate over 90 per cent for the first half of the year.
Everyday property investors largely stick to residential property, despite the likelihood that at some stage their thoughts would have drifted to the prospect of investing in commercial real estate.
