Commercial real estate investment in Australia ended 2014 on a high note, with $8.1bn invested over the quarter. This is a 27% increase on Q4 2013, in which $6.4bn was invested. Over the whole of 2014, a total of $32.7bn of commercial real estate investment was recorded. Not only is this a 45% increase on the 2013 figure of $22.3bn, but it also sets a new peak volume in the post-GFC era.
In Q4, A-REITs were active purchasers and sellers, with $1.1bn in acquisitions and $1.8bn in divestments, ending the quarter at nearly $700m in the red. Discounting the two A-REIT privatisations, A-REIT investment activity in Q4 has been a continuation of trend seen throughout 2014 – high levels of activity on both the buy- and sell-side, as they seek to recycle assets.
Source : DTZ