Chinese Hold Buying Power
The launch of Colliers International Asia Pacific Real Estate Investment Market Bulletin – Quarterly Update.
Sydney, Australia, May 27, 2009 --(PR.com)-- Chinese investors will be the dominant player in the Asia Pacific investment market for 2009, according to leading property group Colliers International.
In its latest Asia Pacific Real Estate Investment Market Bulletin, the report found that the Greater China market constituted more than three quarters of all the transactions in the region for 1Q 2009. This is significantly higher than its average volume of 50 percent prior to the onset of the global financial crisis in 1Q 2008.
Steam Leung, Asian Director at Colliers International, said there has been a noticeable shift in the number of Asian buyers in the Australian market during the first quarter of 2009.
“We are seeing a significant increase in activity and enquiries from offshore Asian investors who are taking advantage of Australia’s long-term real estate value.
“Asian investors are attracted to Australia’s economic stability and secure political environment,” he said.
A number of prime Australian properties have been sold by Mr Leung to Asian investors this year including:
· 521-527 Kent Street was sold for $41 million
· A 3183 sqm site located at 61-79 Quay Street, Haymarket for $38 million
· 73-75 Liverpool Street for $7.706 million.
“There are many active Asian buyers in the market and we expect there to be more transactions in the second half of 2009,” said Mr Leung.
The report found the total number of investment sales transactions plummeted by more than 50 percent during 1Q 2009, compared to 4Q 2008.
Real Estate investment yields softened by a further 25-75 basis points in 1Q 2009, as risk premiums expanded and a further consolidation of the global economy continued.
Felice Spark, Director of Commercial Research at Colliers International, said Australia’s investment sales market is predicted to pick up in the second half of 2009.
“We expect investment sales to increase after the financial year-end, with vendors facing an increased need to sell in order to reduce debt.
“There is also an awareness amongst purchasers that we are reaching the bottom of the market and now is the time to buy,” she said.
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In its latest Asia Pacific Real Estate Investment Market Bulletin, the report found that the Greater China market constituted more than three quarters of all the transactions in the region for 1Q 2009. This is significantly higher than its average volume of 50 percent prior to the onset of the global financial crisis in 1Q 2008.
Steam Leung, Asian Director at Colliers International, said there has been a noticeable shift in the number of Asian buyers in the Australian market during the first quarter of 2009.
“We are seeing a significant increase in activity and enquiries from offshore Asian investors who are taking advantage of Australia’s long-term real estate value.
“Asian investors are attracted to Australia’s economic stability and secure political environment,” he said.
A number of prime Australian properties have been sold by Mr Leung to Asian investors this year including:
· 521-527 Kent Street was sold for $41 million
· A 3183 sqm site located at 61-79 Quay Street, Haymarket for $38 million
· 73-75 Liverpool Street for $7.706 million.
“There are many active Asian buyers in the market and we expect there to be more transactions in the second half of 2009,” said Mr Leung.
The report found the total number of investment sales transactions plummeted by more than 50 percent during 1Q 2009, compared to 4Q 2008.
Real Estate investment yields softened by a further 25-75 basis points in 1Q 2009, as risk premiums expanded and a further consolidation of the global economy continued.
Felice Spark, Director of Commercial Research at Colliers International, said Australia’s investment sales market is predicted to pick up in the second half of 2009.
“We expect investment sales to increase after the financial year-end, with vendors facing an increased need to sell in order to reduce debt.
“There is also an awareness amongst purchasers that we are reaching the bottom of the market and now is the time to buy,” she said.
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Contact
Colliers International (Australia)
Michelle Hutchison
+61 2 9257 0210
www.colliers.com.au
Michelle Hutchison
+61 2 9257 0210
www.colliers.com.au
Contact
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