JLL has strengthened its Victoria team with the appointment of former CBRE agent Josh Rutman to the role of senior director of capital markets, and head of middle markets and metropolitan Investments.
Rutman joins after 10 years with CBRE.
“Josh’s appointment, given the depth of his experience not only assists in achieving strong transactional outcomes, but also building and managing high performance teams,” JLL’s head of capital markets Australia, Fergal G Harris said.
“Middle markets is a major focus for JLL’s capital markets growth strategy given its resilient nature, multi sector exposure and high turnover, which is particularly important for our clients in more challenging markets such as we are facing now.
“Josh’s appointment will enable JLL to cement a major foothold in this sector, not only for the sale of office buildings and development sites, but also in collaborating with other market sectors, including retail and alternative investments.”
Rutman will consolidate and complement JLL’s institutional sales business headed by Nick Rathgeber and Leigh Melbourne.
Rutman said buyers are taking a more prudent approach currently, but there remains a notable amount of transactional activity in the sub $150 million space, with groups showing appetite to take on leasing and tenancy risk “for the right product”.
“Deals are being structured in more creative ways so as to protect the interests of both vendors and purchasers, which is requiring a more experienced and patient agency approach.”
More than 70% of the office market deals in Victoria have been sold on an off-market basis in 2020, according to JLL, compared to 21% in 2019, which it believes is a sign that the broader market is still yet to confidently ascertain new rental and capital value benchmarks.
Rutman said after several new entrants dominated transactions in the non-institutional sector in Melbourne, there has been a swing back to well-known and established players.
“Most buyers have been domestic and international fund managers and syndicators, including household names like Vantage Property Investments, Time & Place, Prime Value, Tong Eng Group and Costa Fox. In Sydney, the buyer pool has been more diverse, with several private family groups also taking part in the transactional activity.”
