Impressive Momentum 2021
April 9, 2021
SOLUTIONSInsights, properties & results / Your solutions
Demand for commercial and industrial property remains strong in Nichols Crowder’s key markets and other locations.
Over the first nine months of 2019-20, the total number of our sales and leases have been in line with the same period 2018-19. Even more positively, sales this year are making up a greater proportion of these transactions.
The solid demand is being driven by several factors:
- Solid yields on commercial and industrial property
- Low interest rates for the foreseeable future
- Requirements for reliable income streams
- Tenants paying most outgoings (excluding land tax)
- Longer leases than residential property
On the supply side, however, the number of available investment properties has been relatively low over the past few months. This has mainly been due to more owners taking “hold positions” on their properties, with concerns about a lack of alternative opportunities, sharemarket volatility and the low cash rate.