Same again for Canberra commercial property in 2017: Colliers

Same again for Canberra commercial property in 2017: Colliers
Same again for Canberra commercial property in 2017: Colliers

Commercial property clearance rates in Canberra fell by 11 percent in 2016 with similar conditions expected for 2017 according to Colliers International.

Only four properties above $10 million sold at auction last year in Canberra last year. All were residential development sites auctioned on behalf of the ACT Government’s Land Development Agency (LDA).

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Same again for Canberra commercial property in 2017: Colliers

Dominic Aungles, Valuer and Analyst at Colliers International said, 2017 market dynamics are already looking positive with five LDA development sites selling at auction last week for a total of $25.44 million and seven more commercial auctions scheduled to occur before end of the first quarter.

“The LDA is again expected to play a significant role in the ACT auction market, with a number of key development sites coming to market through 2017 and 2018,” he said.

"We expect investment properties under $5 million to remain popular this year.

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Same again for Canberra commercial property in 2017: Colliers

“Mum and dad investors are likely to continue to seek out well-leased smaller assets, looking to gain stronger returns than typically afforded in the residential property market.

“Small commercial properties with secure, long-term leases are expected to be extremely popular as investors look for secure yields with rental growth. Whereas vacant properties, especially in areas such as Fyshwick, which currently have a soft leasing market, are expected to be exclusively the domain of owner-occupiers as investors look for more secure income streams in other markets."

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Canberra Commercial Sales

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