The latest research from Colliers International highlights Australian institutional investors make up most of the settled sales over the first half of the year.

Karina Salas, Research Manager at Colliers International said the estimated sales for the first half of this year are already on track to exceed the total volume of sales in 2018. 

“The value of settled sales sits at circa $1.2 billion for H1 2019, with Australian institutional investors dominating, but this trend could change once further details of transactions under due diligence and pending are released,” said Mrs Salas.

At a Glance:

• The Brisbane CBD vacancy tightened from 13% in early-2019 to 11.9% in mid-2019
• Average prime and secondary yields sharpened to 5.45% and 6.75% respectively in June 2019
• Average gross face rents increased in the range of 2.5% to 6% across the different asset classes over the year to June 2019.

Demand holds firm across the market, driven by activity from diversified tenants looking for contiguous high-quality office space, relocating within the CBD area or from suburban locations to the city. 

“The mining and resources sector, the federal government and co-working operators are the main sectors driving healthy levels of demand,” said Kelly Moon, Director of Office Leasing at Colliers International.

 “While in each instance the increase in demand has its own drivers, …the mining and resources sector has entered an era of technology transformation and some new space occupied by mining companies within the CBD has been assigned to staff working on technology projects.

“We expect the Premium grade vacancy will continue to decline rapidly to circa 6 per cent over the next 6 to 12 months as Riverside Centre, 111 Eagle Street and Waterfront Place approach full occupancy," said Mr. Moon. 

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