Morning,
I've just returned from a very interesting breakfast conference run by the API and Finsia at the Hyatt Hotel here in Perth.
It was called the Perth Commercial Property Outlook and the theme was something like "Where is the Bull heading".
I seemed to be the only one in the 300 strong crowd not wearing a 3 piece suit.....oh joy....must of been the only one from the industrial sector....
Alannah MacTiernan, the Minister for everything to do with real estate was in attendance. She's quite a lively character when she doesn't have a camera or microphone in her face.
The Colliers International Director of Research presented some fascinating data on what is underlying "the market". He wouldn’t distribute his slide presentation, which was worth gold to me…..might have to get a copy through the back door somehow.
It's extremely tight, and with investors pouring in from over East, competition is getting tough. Prime nett yields have dropped from 9 and 10% down to 6's and 7's. I wish they'd all stay on their side of the paddock.
Anyway, their consensus / forecast is they cannot see any slowing down at all in the CBD / West Perth / industrial sector.....both prime face rents and underlying land values are screaming up, especially in the next 2 years and strong until at least mid-2009.
They all agreed the residential market had peaked already, but thankfully for once, didn't blather on and on about houses and units.
Sat at a table with a partner from a prominent law firm. I'm always amazed at how wealthy these guys look / act / appear, and yet how little wealth they really have. He was mid to late 40's, and still paying off his modest PPoR worth 600K and had no investment property at all. Looks are very deceiving.
Anyway, I'm bouyed by the research and outlook. My private banker who invited me to the function and sitting next to me said at the end "I suppose you'll be knocking on my door soon for more money...".....U betcha !!!!
I've just returned from a very interesting breakfast conference run by the API and Finsia at the Hyatt Hotel here in Perth.
It was called the Perth Commercial Property Outlook and the theme was something like "Where is the Bull heading".
I seemed to be the only one in the 300 strong crowd not wearing a 3 piece suit.....oh joy....must of been the only one from the industrial sector....
Alannah MacTiernan, the Minister for everything to do with real estate was in attendance. She's quite a lively character when she doesn't have a camera or microphone in her face.
The Colliers International Director of Research presented some fascinating data on what is underlying "the market". He wouldn’t distribute his slide presentation, which was worth gold to me…..might have to get a copy through the back door somehow.
It's extremely tight, and with investors pouring in from over East, competition is getting tough. Prime nett yields have dropped from 9 and 10% down to 6's and 7's. I wish they'd all stay on their side of the paddock.
Anyway, their consensus / forecast is they cannot see any slowing down at all in the CBD / West Perth / industrial sector.....both prime face rents and underlying land values are screaming up, especially in the next 2 years and strong until at least mid-2009.
They all agreed the residential market had peaked already, but thankfully for once, didn't blather on and on about houses and units.
Sat at a table with a partner from a prominent law firm. I'm always amazed at how wealthy these guys look / act / appear, and yet how little wealth they really have. He was mid to late 40's, and still paying off his modest PPoR worth 600K and had no investment property at all. Looks are very deceiving.
Anyway, I'm bouyed by the research and outlook. My private banker who invited me to the function and sitting next to me said at the end "I suppose you'll be knocking on my door soon for more money...".....U betcha !!!!
