COMMERCIAL PROPERTY, SALES & LEASING
EVEN with recent revaluations by Australia’s listed REITs, a further $15 billion could still be written off the values of office and shopping centres assets across the...
According to new research from Par Group, undertaken by Y Research and The Data App, Australian listed property trusts reported moderate changes to...
“In stark contrast to actual asset transactions for major office and shopping centres assets in 2022/23, the listed AREITs made minimal changes to the capitalisation rates and...
Over the year, listed property owners have increased the cap rate of their office assets by 0.38% and 0.24% for shopping centre assets, reflecting just...
This is well below results seen from a sample of actual transactions over the period, which show asset values dropped by 18.8% for office assets and 17.3% for large retail...
“The low rate of transactions through 2022/23 is the result of the ongoing stand-off between sellers and buyers. Buyers are still holding onto previous or...
“The price expectation gap has remained steady in recent months, with few AREITs transacting, despite previously reporting an intention to...
Analysis was conducted on the book values and capitalisation rates across 12 listed AREITs that reported during August 2023 compared to corresponding outcomes from...
This revealed that with owners increasing the capitalisation rate of their office properties by an average of 0.38%, the value of the 120 office assets reviewed fell by...
For office assets, B and C grade buildings were saw the most dramatic changes, with more than twice the increase in cap rates compared to premium grade buildings, at...
Suburban and regional assets office assets saw a 0.46% increase in cap rates, compared to a 0.36% increase for city centre office assets...
With AREITs increasing the capitalisation rate of their shopping centre properties by an average of 0.24%, the value of the 225 shopping centre assets reviewed was...
Super regional centres saw an increase to cap rates of just 0.07%, which neighbourhood centres were up 0.34%...
“It is likely the divergence between and within asset classes such as the difference between prime and secondary stock will expand in the months ahead...
“In spite of this further revaluations and significantly lower asset prices for office and shopping centre owners are likely during the 2024 reporting periods.”